Tegna's Strategic WNBA Bet: WTHR's Indiana Fever Extension Signals Growth in Local Sports Broadcasting

The partnership between Tegna’s NBC affiliate WTHR and the Indiana Fever has entered a new phase, with a two-year contract extension solidifying their collaboration through 2025. This agreement not only underscores Tegna’s commitment to local sports broadcasting but also highlights a strategic play to capitalize on the rising popularity of women’s professional basketball. With the Fever’s 2025 season featuring a record-breaking 41 nationally televised games—the most by any WNBA team in a single season—the partnership could drive significant viewership, advertising revenue, and long-term audience engagement for Tegna.

The Contract’s Terms and Strategic Imperatives

The extended deal ensures 18 Fever games air locally on WTHR and sister station WALV (MeTV) in 2025, including marquee matchups against the Las Vegas Aces and Washington Mystics. A key differentiator is the split broadcast strategy: 14 games will stream free via over-the-air HD antennas on WTHR, while four games require VHF antennas or cable subscriptions for WALV. This approach broadens accessibility while maintaining a balance between free and subscription-based content—a model that could enhance audience retention and monetization opportunities.

Viewership Surge and the WNBA’s Momentum

The Fever’s 2024 broadcasts on WTHR delivered a 63% increase in household ratings compared to nationally televised games, signaling strong local demand. This success aligns with the WNBA’s broader growth trajectory. In 2025, the Fever will air 93% of their 44-game schedule on national TV—a franchise record—positioning the team as a flagship property for both Tegna and the league. Such visibility could attract corporate sponsors seeking to align with a high-profile, gender-equity-driven brand, potentially boosting advertising revenue for Tegna’s stations.

Tegna’s Play for Local Sports Dominance

The deal reflects Tegna’s broader strategy to deepen its footprint in local sports, a segment increasingly critical to audience engagement in an era of cord-cutting. As WTHR President Brad Ramsey noted, the partnership amplifies the station’s role as “Indiana’s News Leader” by offering unique local content that differentiates it from streaming platforms. This approach could counteract declines in traditional news viewership by leveraging sports to retain and attract younger, more diverse demographics.

Investment Implications: TEGNA’s Performance and Peer Comparison

While TEGNA’s stock has underperformed the S&P 500 by ~15% over three years, its focus on local sports partnerships may offer a tailwind. Media peers like Fox Corporation (FOX), which owns regional sports networks, have historically leveraged such deals to stabilize revenue. Tegna’s move to embed itself in the Fever’s success could similarly diversify its revenue streams, particularly if national broadcast rights generate licensing fees or shared advertising revenue.

Conclusion: A Strategic Move with Long-Term Payoffs

The WTHR-Fever extension is more than a local sports deal; it’s a calculated bet on the WNBA’s rising profile and Tegna’s ability to monetize niche audiences. With Fever ratings up 63% locally and a record 41 games on national TV in 2025, the partnership positions Tegna to benefit from both increased viewership and potential ad revenue growth. Crucially, it aligns with Tegna’s broader pivot toward content that reinforces its local relevance—a critical edge in an era where news networks must compete with streaming giants.

For investors, this deal underscores TEGNA’s resilience in adapting to shifting media landscapes. While the stock’s valuation remains modest compared to peers, the Fever’s growing star power and Tegna’s strategic agility suggest this could be a harbinger of sustained growth. In a sector where local relevance is king, Tegna has made a move that’s both timely and tactical.