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Mumbai, Viacom 18 has bagged the <keyword id="6391629" type="General" weightage="20" keywordseo="bcci-media-rights" source="Orion">BCCI media rights</keyword> in both TV and digital for the next five years, announced Jay Shah, the <keyword id="6354756" type="General" weightage="20" keywordseo="bcci" source="Orion">BCCI</keyword> Honorary Secretary. Viacom18 beat competition from Sony Sports Network and Disney Star in an e-auction held on Thursday. "Congratulations @viacom18 for winning the @BCCI Media Rights for both linear and digital for the next 5 years. India Cricket will continue to grow in both spaces as after @IPL, and @wplt20, we extend the partnership @BCCI Media Rights as well. Together we will continue to capture the imagination of Indian cricket fans," said Shah on the social media platform "X". Viacom18, a relative newcomer in the broadcasting world through its TV channel Sports18 and digital platform Jio Cinema, is also the holder of TV and digital rights to the Women's Premier League (WPL) till 2027. It also has the rights to Cricket South Africa matches to be broadcasted in India from 2024-31. Viacom18 has taken the BCCI bilateral media rights from Disney Star, who had won the television and digital rights for the 2018-23 cycle for INR 6138 crore. Disney Star had won the rights to the 2012-18 cycle of broadcasting Indian cricket in the country for INR 3851 crores. "Also, a big thank you to @starindia @DisneyPlusHS for your support over the years. You played a key role in making India Cricket reach its fans across the globe," added Shah, also the President of the Asian Cricket Council (ACC). The BCCI has opted for an e-auction for the bilateral media rights, with a base price of INR 25 crore for India digital and rest of world TV &amp; digital rights and INR 20 crore for India television rights, continuing the trend from IPL media rights auction. It brought the combined rights value to INR 45 crore per game for a total of 88 matches for the 2023-28 cycle. Viacom18's cycle of showing India's matches will begin with the three-match ODI series against Australia from September 22-27, a preparatory series before the Men's ODI World Cup. --IANS nr/bsk

Viacom 18 bags BCCI media rights in both digital and TV for next five years

<keyword id="6354831" type="ORGANIZATION" weightage="100" keywordseo="Indian-Premier-League">Indian Premier League</keyword> (<keyword id="6354312" type="CITY" weightage="100" keywordseo="IPL">IPL</keyword>), the professional Twenty20 cricket league in India, minted about Rs 2,500 crore as overall revenue in the recently concluded ninth season, showing a growth rate of double digits from the year before. 
 
This figure includes ad revenue that TV, digital channels made, and the amount that teams made from sponsorship, ticket sales and merchandising, also counting what BCCI made from on-ground sponsorship. Not to mention, the biggest chunk of this figure has come via TV ads, given that advertisers paid huge sums to grab ad spots during match telecasts. 
 
Talking of official broadcaster Sony Pictures Networks India (SPN), it made just under Rs 1,100 crore, with eight IPL franchisees collectively earning Rs 200-230 crore from sponsors. The broadcaster might be allocating this revenue to the three channels - Sony Max, Sony Six and Sony ESPN, all of which air IPL. 
 
BCCI, on the other hand, generated Rs 220-250 crore from on-ground sponsorships, and the digital rights holder Hotstar got around Rs 40 crore, said media buyers. BCCI also ended up with almost Rs 10 crore made from ticketing revenue. 
 
"India is a market where a lot of new brands are launching. These need to chase salience and eyeballs and IPL's viewership has remained rock solid," said Mallikarjun Das, CEO of media buying agency Starcom Media-Vest Group. "So, I believe advertising will continue to remain the mainstay." 
 
<a href="http://indgest.com/wp-content/uploads/2016/05/md_0797.jpg">Image source</a>

IPL growth rate jumps to two digits, churns out Rs 2,500 crore in season 9

<ul><li>The <keyword id="6354756" type="UNKNOWN" weightage="20" keywordseo="bcci">BCCI</keyword>, last week, had decided to officially announce the suspension of the partnership with title sponsors Vivo. The move came after the BCCI and the <keyword id="6354312" type="UNKNOWN" weightage="20" keywordseo="IPL">IPL</keyword> Governing Council were both criticised for retaining Vivo as the title sponsor amid the raging anti-China sentiment. </li><li>The last date of submitting the expression of interest (EOI) is August 14, a statement from IPL said. </li><li>The final bid should be sent to BCCI on August 18.</li></ul>The <keyword id="81008" type="ORGANIZATION" weightage="20" keywordseo="Board-of-Control-for-Cricket-in-India">Board of Control for Cricket in India</keyword> (BCCI) on Monday invited third parties to express their interest in acquiring the title sponsorship rights for the 13th edition of the <keyword id="6354831" type="UNKNOWN" weightage="20" keywordseo="indian-premier-league">Indian Premier League</keyword> (IPL) to be held in United Arab Emirates (UAE) from September 19 to November 10. The last date of submitting the expression of interest (EOI) is August 14, a statement from IPL said. The final bid should be sent to BCCI on August 18. "Each EOI must be delivered by email to the following address: eoi@bcci.tv with the following subject line "EOI for Title Sponsor for IPL 2020" and must be received by 5.00pm IST on August 14, 2020," the statement read. "Any EOIs received after this deadline will not be considered unless BCCI decides otherwise at its sole discretion." "Post-delivery of the EOI, BCCI shall inform the Rights, product categories and entitlements to the interested third parties. The final bid should be sent to eoi@bcci.tv between 11 am and 1 pm on August 18, 2020. The above time schedule is subject to revision by BCCI at its sole discretion." The BCCI, last week, had decided to officially announce the suspension of the partnership with title sponsors Vivo. The move came after the BCCI and the IPL Governing Council were both criticised for retaining Vivo as the title sponsor amid the raging anti-China sentiment. "The Rights are available for the period from August 18, 2020 to December 31, 2020. Details regarding the Rights and product categories in which the Rights are available will be provided only to parties who submit the EOI and are found eligible," the statement said. "The turnover of the interested third party must be over Rs 300 crore as per the last audited accounts." BCCI President Sourav Ganguly had stated that Vivo's exit as title sponsor shouldn't be seen as a financial crisis. "I wouldn't call it a financial crisis," Ganguly said while speaking during a webinar organised by Learnflix, as per ESPNCricinfo. "It's just a little bit of a blip. And the only way you can do it is by being professionally strong over a period of time. SEE ALSO: <a href="https://www.businessinsider.in/politics/world/news/trump-was-rushed-from-the-briefing-room-by-secret-service-after-a-shooting-outside-of-the-white-house/articleshow/77474005.cms">Trump was rushed from the briefing room by Secret Service after a shooting outside the White House</a> <a href="https://www.businessinsider.in/careers/news/mckinsey-facebook-amazon-nokia-and-some-other-companies-looking-for-a-product-manager-right-now/slidelist/77464438.cms">McKinsey, Facebook, Amazon, Nokia — and some other companies looking for a product manager right now</a> <a href="https://www.businessinsider.in/business/startups/news/how-karan-bajaj-sold-his-less-than-18-month-old-startup-white-hat-jr-to-byjus/articleshow/77415329.cms">A WhatsApp message, six weeks of talks and a $300 million deal – how Karan Bajaj sold his less than 18-month old startup White Hat Jr to Byju’s</a>

BCCI invites IPL 2020 title sponsors after bidding farewell to Vivo

The <keyword id="6354831" type="General" weightage="20" keywordseo="indian-premier-league" source="Orion">Indian Premier League</keyword> is probably one of the few businesses in India that will remain unaffected by soaring inflation, a global pandemic and rising interest rates. After the recently-concluded media rights auction, it is gonna be raining money for its <keyword id="97291" type="General" weightage="20" keywordseo="Franchises" source="Orion">franchises</keyword>. <div type="image" title="It&amp;#39;s gonna be raining money for IPL franchises" msid="92263245" hostid="261" caption="&amp;lt;p&amp;gt;It&amp;#39;s gonna be raining money for IPL franchises&amp;lt;/p&amp;gt;"></div> The Board of Control for Cricket in India (BCCI) will walk home with ₹48,390 crore after the record-breaking bidding concluded on June 14. With this, India’s biggest sporting event has witnessed an <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">increase of 3x</a> when compared to the previous cycle, with the National Football League ahead by a small margin at <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">$17 million.</a> <div type="image" title="IPL has witnessed an increase of 3x when compared to the previous cycle" msid="92263276" hostid="261" caption="&amp;lt;p&amp;gt;IPL has witnessed an increase of 3x when compared to the previous cycle&amp;lt;/p&amp;gt;"></div> <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">Disney-Star</a> retained the rights for television for ₹23,575 crore, while India’s richest man <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">Mukesh Ambani’s</a> Viacom18 bagged two and half bundles for ₹23,750 crore including digital, non-exclusive digital rights and a few international countries. New winner Times Internet shared the international mandate with Viacom18. <div type="image" title="IPL value has nearly tripled to `48,000 cr" msid="92263293" hostid="261" caption="&amp;lt;p&amp;gt;IPL value has nearly tripled to `48,000 cr&amp;lt;/p&amp;gt;"></div> Apart from the media winners, the two biggest beneficiaries of the recently-concluded auction would be the <keyword id="6354312" type="General" weightage="100" keywordseo="ipl" source="Orion">IPL</keyword> teams and their franchise owners. The economics of IPL BCCI collects massive revenues from broadcasters and Over-the-top (OTT) platforms by selling media rights. It deducts its share and a big chunk of its revenues are then shared with the IPL teams. Franchises get a guaranteed <a href="https://www.businessinsider.in/business/corporates/news/zee-and-sun-tv-might-not-have-won-ipl-media-mandates-but-heres-how-they-will-benefit-from-the-ipl-auction/articleshow/92223279.cms">40-50% revenue share</a> (share of ₹48,000 crore for the next cycle) from IPL’s central contract revenue pool. The final winning team of the season walks home with the biggest share of BCCI profits. Now, after the latest auction, IPL value has <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">jumped </a>by <a href="https://www.businessinsider.in/business/corporates/news/ipl-value-jumps-3x-to-48000-crore-heres-how-much-mukesh-ambani-disney-and-times-internet-are-spending/articleshow/92209726.cms">3x to ₹48,000 crore</a>, which means franchises will get a bigger cut in profits from BCCI. According to financial advisory firm Elara Capital, the average revenue of all IPL teams is likely to grow 2x in the next five years. <div type="image" title="Average revenue of IPL teams" msid="92263336" hostid="261" caption="&amp;lt;p&amp;gt;Average revenue of IPL teams&amp;lt;/p&amp;gt;"></div> For the next cycle of IPL 2023-2027, 10 teams will get on the battleground which include two new teams Gujarat Titans and Lucknow SuperGiants. The fee and revenue share for high-demand teams like Mumbai Indians, Chennai Super Kings, Delhi Capitals is more than others as they hold better revenue potential – both in terms of sponsorship and gate receipts. Elara Capital predicts that after the recent auction, Mumbai Indians’ revenue will jump by 109.1% from ₹3,836 million to ₹8,020 million and Chennai Super Kings will see their revenue jump by 124.9%. On the other hand, Royal Challengers Bangalore and <a href="https://www.businessinsider.in/business/corporates/news/zee-and-sun-tv-might-not-have-won-ipl-media-mandates-but-heres-how-they-will-benefit-from-the-ipl-auction/articleshow/92223279.cms">SunRisers Hyderabad</a> will see the biggest hike by 133.8% and 138.4% respectively than their previous revenue collection. Among the listed companies behind key franchises, Sun TV Network, Reliance Industries, and United Spirits will witness a growth in their market capitalisation as the value of their IPL teams improve. As per a recent poll conducted by <a href="https://bit.ly/3nD94g5">Stocktwits</a>, 51% are bullish on media stocks after the IPL auction. <div type="image" title="Are you bullish on media stocks?" msid="92263366" hostid="261" caption="&amp;lt;p&amp;gt;Are you bullish on media stocks?&amp;lt;/p&amp;gt;"></div> <keyword id="99282" type="General" weightage="20" keywordseo="IPL-franchises" source="Orion">IPL franchises</keyword> also earn from brand sponsorships, prize money, ticket sales revenue, and merchandise sales. Brand sponsorship Apart from media revenue discussed above, IPL franchises generate a sizeable part of their revenue through brand sponsorships. Franchises tie-up with brands to offer visibility to the brand by endorsing their logos on their jerseys, headgear and team kits. Bigger the logo, the more the money brand has to shell out. Teams also earn from other tournament-related marketing activities organised by their sponsors. Sponsorship revenue reportedly forms around <a href="https://www.businesstoday.in/latest/trends/story/how-ipl-owners-teams-franchises-make-money-all-you-need-to-know-294481-2021-04-27">20-30%</a> of revenue for an IPL team. Ticket sales The global pandemic affected India’s biggest sporting gala in 2020 and 2021. However, it was back with a bang this year. Now that the stadiums are full of spectators again, a small portion of ticket sales will be offered to sponsors and the BCCI, the rest goes into the team’s wallet. The ticket prices are determined based on the seating capacity of the stadium, the excitement around the event, the standard of living in the city, and so on. Ticket revenue reportedly forms around <a href="https://www.businessinsider.in/heres-how-ipl-franchises-makemoney/articleshow/51727135.cms">10%</a> of revenue for IPL teams. Prize money BCCI offers a colossal amount of prize money to the winning team. In 2018, IPL champion Chennai Super Kings took home ₹20 crore in prize <a href="https://www.cnbctv18.com/sports/ipl-champion-csk-takes-home-rs-20-crore-prize-money-kkr-bags-rs-125-crore-11122742.htm">money</a>. Merchandise sales As per a ResearchAndMarkets report, India's sports equipment and apparel market is estimated to be $28 billion in 2022 and reach $40.6 billion by 2027. Each franchise sells merchandise that includes T-shirts, Caps, Wrist watches and so on and gets a share of money collected from consumers.

SIMPLY PUT: How IPL franchises make money

Many people wonder how <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a> franchises can afford to pay millions of dollars to 'buy' star players, and still make money. 
 
Others ponder on the stupendously high team valuations that float around in the media. The valuations are nothing but projections about future revenue minus the projected expenses. It all about predictions based on currently available data. 
 
The reality of the <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a> is that it is brilliant if judged from the business standpoint. It’s a cricket tournament that’s developed primarily as a valuable commercial property. It offers companies an opportunity to aggressively market and advertise their businesses. 
 
At the core <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a>’s b-plan is the idea of inviting private companies to own cricket franchises. When franchises were sold at steep prices, corporates saw value in investing on key components of Indian cricket. That is where the money comes from. 
 
The <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a>’s business masterstroke is that it created an amazing synergy with industry and commerce. It was a way of allowing corporate India into Indian cricket's dressing rooms. Never before have sponsors paid serious moolah to get their company logo on a player’s t-shirt. Some of the biggest companies in the world wrestled to be sponsors of the game. 
 So what’s in it for investors? India is mad about cricket, and the audience for cricket and the population, is growing in the largest democracy in the world. Everybody agrees there will never be a recession in the <keyword id="4578" type="COMPANY" weightage="100" keywordseo="entertainment">entertainment</keyword> industry, and the <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a> is just that – a heady cocktail of bollywood and cricket that promises entertainment, entertainment and entertainment. 
 
Here are some of the primary ways <a href="http://www.businessinsider.in/searchresult.cms?query=IPL&amp;sortorder=effectivedate">IPL</a> teams make money: 
 
Media Rights: There is a revenue distribution model in the <keyword id="6354312" type="CITY" weightage="80" keywordseo="IPL">IPL</keyword>, where the <a href="http://www.businessinsider.in/searchresult.cms?query=BCCI&amp;sortorder=effectivedate">BCCI</a> collects hefty revenue from the broadcaster and online streamer, and shares it with the teams after deducting some amount. 
 
The percentage is in proportion, much like a weighted average. If you rank higher at the end of all matches, you get more share of the media revenue. 
 
Media rights reportedly forms about 60-70% of all revenue earned by IPL teams. 
 
Brand Sponsorship: 
IPL franchises generate a sizeable part of their revenue through <a href="http://www.businessinsider.in/searchresult.cms?query=brand+sponsorships&amp;sortorder=effectivedate">brand sponsorships</a>. 
 
Franchises tie-up with brands to offer visibility to the brand by endorsing their logos on team kits and jerseys. Even the barricades near the boundaries form a part of the sponsorship revenue. 
 
The more prominent the sponsors want their name to be displayed, the more the money. Usually names printed on the chest in bold and behind the players are the highest revenue generating sponsors for a team. 
 
Sponsors can also hold certain events with the team’s players. That way they can promote their brand as a part of the sponsorship deal. 
 
Sponsorship revenue forms around 20-30% of revenue for an IPL team. 
 
Ticket Sales: 
If you’re the home team, the sales of ticket in stadiums would form a part of your revenue. 
 The ticket prices are fixed by team owners. A small portion of tickets are offered to sponsors and the <keyword id="6354756" type="CITY" weightage="60" keywordseo="BCCI">BCCI</keyword>, the rest goes into the team’s wallet. It is reported that an <a href="http://www.businessinsider.in/searchresult.cms?query=IPL+franchise&amp;sortorder=effectivedate">IPL franchise</a> gets to sell around 80% of the tickets for its home games. 
 
The prices are determined based on the seating capacity of the stadium, the excitement around the event, the standard of living in the city, and so on. 
 
The important factor here is to ensure the stands are filled, and there is a better TV experience too. That way, everybody’s happy. 
 
Ticket revenue reportedly forms around 10% of revenue for IPL teams. 
 
Prize Money: 
The IPL offers lucrative prize money. It was around Rs. 40 Crores in 2015. The Champions get a bigger piece of the pie, while the runners up and other teams get a smaller share. 
 
The prize money is distributed amongst owners and players. The official terms and conditions lay out that at least 50% of the prize money must be distributed among players, but how much would be offered over and above is decided at the owners’ discretion. 
 
Merchandise Sales: The Times of India reported that the <keyword id="6356028" type="COMPANY" weightage="80" keywordseo="Sports">sports</keyword> gear business market growth in the country is 100% annually and the value is projected to be approximately $30 million. This was way back in 2014, and the numbers have grown exponentially. 
 
Each franchise sells merchandise that includes T-shirts, Caps, Wrist watches and so on. 
 
BCCI Central Pool: 
While media rights form a major portion of the money that franchises get from the BCCI, there are official sponsorships and partnerships too. 
 
The amount in the BCCI central pool is distributed among franchisees based on several factors, including their position in the league table. 
 
Stall Rentals: 
The food and beverage stalls that serve spectators during matches are given on a contract basis to a third party who in turn sub contracts it. 
 
It is usually a fixed term for a fixed amount that each franchise collects on per stall per match basis. 
 
Player Trading: 
Before every <a href="http://www.businessinsider.in/searchresult.cms?query=IPL+Auction&amp;sortorder=effectivedate">IPL Auction</a> each season, a transfer window is opened for a certain period of time. 
 
This is when teams are allowed to exchange players. Typically, exceptional players are exchanged with good ones with some money as compensation. 
 
<a href="http://blogs.timesofindia.indiatimes.com/wp-content/uploads/2016/01/IPL.jpg">Image Source</a>

Here’s how IPL franchises make
money

The Viacom18 secured the Women's Indian Premier League (<keyword id="6354312" type="General" weightage="20" keywordseo="ipl" source="Orion">IPL</keyword>) media rights value for the 2023-2027 cycle for a whopping Rs 951 crore which means per match value of INR 7.09 crore for next 5 years. The <keyword id="6354756" type="General" weightage="80" keywordseo="bcci" source="Orion">BCCI</keyword> will unveil the five <keyword id="4804667" type="General" weightage="80" keywordseo="wipl" source="Orion">WIPL</keyword> franchises on January 25. The news comes as a massive development for women's cricket on Monday as <keyword id="15065481" type="General" weightage="50" keywordseo="women-indian-premier-league" source="Orion">Women Indian Premier League</keyword> (WIPL) media rights was auctioned. The news was confirmed by Board of Control for Cricket in India (BCCI) secretary <keyword id="210899" type="General" weightage="80" keywordseo="jay-shah" source="Orion">Jay Shah</keyword> on his Twitter account on Monday. "Congratulations @viacom18 for winning the Women's @IPL media rights. Thank you for your faith in @BCCI and @BCCIWomen. Viacom has committed INR 951 crores which means per match value of INR 7.09 crores for next 5 years (2023-27). This is massive for Women's Cricket," Jay Shah tweeted on Monday. Viacom has pledged INR 951 crore, and INR 7.09 crore for each match, for the next five years. The Women's T20 Challenge was initially held as an exhibition tournament, but the BCCI last year eventually made the decision to introduce the WIPL, with the first season's opening match scheduled for March. The BCCI has not officially released the tournament's schedule, but it is widely believed that the first season, which would consist of 22 matches, will take place between March 5 and March 23. Uncapped cricketers have been given two alternatives, while players with caps--those who have represented India or are currently on a central contract--can select either Rs. 30 lakh, Rs. 40 lakh, or Rs. 50 lakh as their base pricing (Rs. 10 lakh and Rs. 20 lakh). Prior to the WIPL, the base price has been separated into five categories, ranging from Rs. 10 lakh to Rs. 50 lakh. The auction's registration cutoff date is January 26. SEE ALSO: <a href="https://www.businessinsider.in/sports/news/india-creates-world-record-for-highest-margin-win-in-odi-cricket/slidelist/97021299.cms">India creates world record for highest margin win in ODI – here are India’s biggest wins</a> <a href="https://www.businessinsider.in/sports/news/ipl-2023-schedule-time-and-match-details/articleshow/96572695.cms">IPL 2023 schedule, time and match details</a> <a href="https://www.businessinsider.in/sports/news/here-are-the-most-expensive-players-sold-at-the-ipl-2023-mini-auction/slidelist/96473422.cms">Here are the most expensive players sold at the IPL 2023 mini-auction</a>

Viacom18 wins Women's IPL media rights for ₹951 crore for 2023-27

In mid-February 2018, the domestic broadcast rights to the English Premier League (<keyword id="37225" type="CITY" weightage="20" keywordseo="EPL">EPL</keyword>) <keyword id="64" type="SPORT" weightage="20" keywordseo="Football">football</keyword> matches from 2019 to 2022 were sold to <keyword id="302760" type="ORGANIZATION" weightage="20" keywordseo="Sky-Sports">Sky Sports</keyword>, and BT Group, a telecoms company, for £4.46 billion (₹415 billion) with the former securing four packages and the latter purchasing one. In early April 2018, Star India bought the global rights to the Indian <keyword id="1521" type="CITY" weightage="20" keywordseo="Cricket">cricket</keyword> team’s home games from 2018 to 2023 for a staggering figure of ₹61.38 billion. Rather unsurprisingly, Rupert Murdoch was at the centre of both bids. Murdoch’s 21st Century Fox owns a 39% stake in Sky while Star India functions as Fox’s fully-owned subsidiary in India. The winning bid for the EPL has extended Sky’s stronghold on sports broadcasting in the UK for another three years. The media company, which has held the rights to the EPL since its inception in 1992, joined forces with former competitor BT for its bid. The purchase price fell significantly short of the £5.1 billion that Sky bid in 2015 for the three-year rights to the EPL. In contrast, Star India’s bid represents a 60% increase over the ₹38.5 billion it paid for the media rights to India’s cricket games between 2012 and 2018. Star India reportedly outbid Sony by a mere ₹200 million. It had also beat Sony for the ten-year rights to the India Premier League (IPL) in November last year with a bid of ₹163.5 billion. Despite the varying nature of the bids, the auctions for the rights to the EPL matches and Indian cricket team’s games reveal a number of important details about the direction the global sports broadcasting industry is headed in. Bidding will go the open, electronic route The bidding for the Indian cricket rights was conducted through an electronic auction (e-auction) - the first such instance in the history of sports broadcasting. Bidders were given a login and password for an online portal and allowed to submit and revise their bids in real time, while monitoring the highest bids for each category. The Board of Control for Cricket in India (<keyword id="6354756" type="UNKNOWN" weightage="20" keywordseo="bcci">BCCI</keyword>) said that it opted for an e-auction as opposed to a closed bidding process in the interest of transparency. However, in conducting an open electronic auction, it was able to make the bidding process a lot more competitive, more so given the fact that there were two main bidders- Star India and Sony. In fact, in <a href="https://economictimes.indiatimes.com/industry/media/entertainment/media/sony-ensured-bcci-rights-went-only-at-an-unviable-price/articleshow/63904106.cms">the words of NP Singh</a>, the CEO of Sony Pictures Networks India, ““We were clear that either we will get the BCCI media rights at the right price, or let them go at a price which would be economically unviable”. The open auction process allowed the bids to keep going up and will likely become the norm as the broadcasting industry moves towards consolidation. There will be joint bids, especially from media and telecoms firms Future rounds of auctions will likely see former competitors joining forces in a bid to even out the risk and keep prices manageable. In the EPL auction in 2015, BT forced Sky to shell out a price that <a href="https://www.theguardian.com/football/2015/feb/10/premier-league-tv-rights-sky-bt">was 70% higher than what it paid in 2012</a> in order to retain the rights to the most popular time slots for matches. However, the lower deal value in February 2018 is widely seen as a correction, as opposed to an indication that the EPL bubble has burst. The recent auction followed <a href="http://www.bbc.com/news/business-42364401">a cross-licensing agreement signed in December 2017</a> between BT and Sky Sports to sell their content and channels on each other’s platforms and television packages. Under the deal, which seems more like a truce, BT will offer Sky’s Now TV streaming service to its subscribers while Sky will be able to broadcast BT’s sports content, which includes the UEFA Champions League.The move came in response to competition from online streaming platforms. As a result of the deal, the two companies were not compelled to aggressively bid against each other in the auction for the 2019-2022 EPL rights. In bidding for the rights to Indian cricket matches, Sony and Star India were joined by telecoms upstart Reliance Jio. It wouldn’t be a stretch to imagine a tie-up between two of these companies in the next round of auctions, or see Reliance, which <a href="http://variety.com/2018/biz/asia/tv18-viacom18-india-contol-1202683872/">recently took control of the Viacom 18 network</a>, submit a joint bid between Jio and Viacom 18. Global broadcasters will increase their focus on India Make no mistake, the deals for the rights to the IPL and the Indian cricket team’s home games reveal Rupert Murdoch’s ambitions in India. The Indian market will be an important growth driver for global broadcasters like Fox, especially in terms of online video consumption. Star India’s monopoly over cricket broadcasting rights in India means it will have hundreds of millions of viewers every week for its sports content alone. It has expanded regional language coverage and also doubled down on its online streaming platform, Hotstar, which has helped drive its viewership of the IPL <a href="https://www.medianama.com/2018/04/223-183600/">to record highs</a>. China is also an important market for broadcasters. The English Premier League was able to sell its broadcasting rights in China for the 2019-2022 seasons to PPTV, an online video service, <a href="https://qz.com/840801/china-is-about-to-make-the-english-premier-league-700-million-richer/">for around US$700 million,</a> culminating in its largest ever international deal. PPTV, which is a subsidiary of the Suning retail group, reportedly paid 10 times more than the previous broadcasting contract for the EPL in China. Tech giants like Facebook, Amazon and Netflix will be bigger players in the market Both the BCCI and the owners of the English Premier League included digital and/or smaller packages to accommodate streaming platforms and non-traditional broadcasters like Facebook, Amazon and Netflix. The EPL offered two new packages which included the live streaming rights to two entire rounds of ten matches. Amazon was reported to be interested in one of these packages and even submitted a bid. However, the these packages weren’t sold, and there sale will reportedly <a href="https://www.telegraph.co.uk/football/2018/03/05/two-remaining-premier-league-tv-packages-remain-unsold-almost/">be delayed until the summer</a>, as their reserve prices weren’t met. The EPL will likely make the deal more attractive by allowing rights-holders to broadcast additional games after a short delay. Similarly, the BCCI offered a digital rights-only package in the recent auction. While both Facebook and Google bought the tender document, neither submitted a bid. In the previous auction, the BCCI has bundled television and digital rights into one package. Amazon is no stranger to sports broadcasting, however it is still in experimental mode, opting for smaller offerings as opposed to large packages like the EPL. In September last year, it beat Sky for the rights to <a href="https://www.theguardian.com/media/2017/aug/01/amazon-outbids-sky-to-win-exclusive-atp-tour-tennis-rights">ATP tennis games</a> and also bought the rights to the Thursday games of the USA’s National Football League (NFL). It also recently bought the <a href="https://www.theguardian.com/technology/2018/apr/19/amazon-prime-100-m-subscribers-video-music-streaming-netflix">UK rights for US Open tennis matches</a>. Facebook has also experimented with live streaming of UEFA Champions League matches and the ICC Champions trophy cricket tournament. While its <a href="https://www.businessinsider.in/Facebook-bid-610-million-for-the-rights-to-stream-Indian-cricket-matches/articleshow/60380207.cms">US$610 million bid</a> for the IPL rights in September proved to be unsuccessful, it showed that the company has an appetite for sports broadcasting. The entry of tech firms and streaming platforms will shake up the traditional broadcasting. As incumbent broadcasters like Sky and Star India are preparing themselves for this threat by expanding their own streaming services and tying up with telecoms firms, it is the viewers and the organisers of sports events who stand to gain the most. They will be spoilt for choice- the former in terms of viewing options and the latter in terms of bids.

Here's what we learned from two recent auctions about the future of sports broadcasting

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<ul><li>In wake of players, support staff and team management executives tested positive for Covid-19, BCCI announced the suspension of <keyword id="6354312" type="COMPANY" weightage="20" keywordseo="IPL">IPL</keyword> 2021.</li><li>After IPL's suspension, <keyword id="17943" type="COMPANY" weightage="20" keywordseo="star-india">Star India</keyword> has now shared viewership results of its 26 matches.</li></ul>Star India network has garnered a cumulative reach of 352 million in the first 26 matches of IPL 2021 compared to 349 million in the corresponding number of matches in IPL 2020 (Source – BARC TG: 2+U+R). Since acquiring the media rights for the league, Star and Disney India have tremendously grown the league year-on-year. The upward trend reflects the loyalty of the fans and the popularity of the <keyword id="6354831" type="COMPANY" weightage="20" keywordseo="indian-premier-league">Indian Premier League</keyword>. "We are humbled with the response to IPL 2021. While it's heartening to know that more viewers tuned in to watch this IPL season than the one in 2020 (at the same stage of the tournament), we still believe that postponing the season was the right decision to ensure the safety of everyone involved and in line with the prevailing situation in the country,” said a Star Sports spokesperson. The IPL megacast with 9 different feeds in multiple languages along with broadcast innovations such as simulated crowd sound and dynamic audio kept viewers equally engaged as the last season. The Star India network had earlier announced that it had clocked 323 million* total impressions for the opening match of VIVO IPL 2021. The opening match between defending champions Mumbai Indians and Royal Challengers Bangalore received a tremendous response, bigger than opening matches of all other IPL editions held previously other than Dream11 IPL 2020 and 42%* higher than the edition in 2019. This year, nearly every third TV-owning household in India watched the opening match live.

Star India Network garnered a cumulative reach of 352 million in the first 26 matches

<ul><li>In wake of players, support staff and team management executives tested positive for Covid-19, BCCI announced the suspension of <keyword id="7866747" type="UNKNOWN" weightage="20" keywordseo="ipl-2021">IPL 2021</keyword>. </li><li>Considering how big the league has become over the years, every year there is a lot of money riding on IPL.</li><li>We spoke to experts to understand the kind of impact the suspension of the league will have on different stakeholders.</li></ul> The Board of Control for Cricket in India (BCCI) has suspended the current season of the Indian Premier League (IPL) in wake of players in different teams testing positive for Covid. While there had been talks of moving the tournament to a different city in the past few days, the new positive cases among the players led to BCCI announcing an indefinite suspension of the league. For a while now, IPL had been the topic of a raging debate - Whether there was a need to hold the tournament this year, at this time, when the country is facing a massive surge in Covid numbers. While there were many who had felt that IPL should not have been held this year, or could have been suspended much earlier than it was, there were others who said something like an IPL was important because it acted as a distraction from the grimness that otherwise surrounds us. In its official statement, IPL stated, “The BCCI does not want to compromise on the safety of the players, support staff and the other participants involved in organising the IPL. This decision was taken keeping the safety, health and wellbeing of all the stakeholders in mind. These are difficult times, especially in India and while we have tried to bring in some positivity and cheer, however, it is imperative that the tournament is now suspended and everyone goes back to their families and loved ones in these trying times. The BCCI will do everything in its powers to arrange for the secure and safe passage of all the participants in IPL 2021.” In its official statement, <keyword id="17943" type="CITY" weightage="20" keywordseo="star-india">Star India</keyword> said, “Star India supports BCCI’s decision to postpone IPL 2021. The health and safety of players, staff and everyone involved in the IPL are of paramount importance. We thank the BCCI, IPL Governing Council, players, franchisees and sponsors for their support. We are also indebted to our employees, on-air talent, production, and broadcast crews for trying their best to spread positivity by delivering the broadcast of IPL 2021 to millions of homes in the face of challenging circumstances.” However, the next big question everyone is pondering over is, how will IPL’s suspension impact different stakeholders considering there are massive investments involved in the league every year. This year, Star India had on-boarded 18 sponsors and over 100 advertisers across multiple brand categories including Edtech, Fantasy Sports, Beverages, Pay Wallets, Home Décor, Auto, Telecom, Consumer Durables, FMCG and Financial Services. For most brands, the IPL becomes that one property that garners impressive eyeballs. The leagues has helped a lot of brands build awareness and reach out to an engaged set of audience over the years. However, this year, perhaps due to the ongoing <keyword id="9323110" type="UNKNOWN" weightage="20" keywordseo="Covid-surge">Covid surge</keyword>, IPL’s viewership witnessed a dip when compared to last year’s numbers, according to data from Broadcast Audience Research Council (BARC) India. <div type="image" title="IPL 2021 viewership" msid="82390462" hostid="261"></div> Last year, BCCI had earned Rs 4,000 crore in revenue from hosting IPL, in addition to a 25% rise in TV viewership, according to BCCI treasurer Arun Dhumal. The different franchisees make money through title sponsorships, media rights, merchandising, ticket sales and the prize money. When it comes to the broadcaster, Star Sports and Hotstar was expected to rake in advertising revenues of around Rs 3,600-3,800 crore, a substantial jump from last year’s estimated revenue of Rs 2,600 crore. While it might still be very early to understand the implications of the suspension, industry experts believe advertisers will approach Star Sports Network to rework the advertising deals. Many advertisers had to pay close to a 20% premium for ad slots this year and it is expected they would demand for extra airtime, to make up. What the exact implications are, and how different stakeholders work around the suspension, only time will tell. To understand what the industry felt about the league’s suspension, we reached out to experts from the industry, and here is what they had to say: <keyword id="248051" type="PERSON" weightage="20" keywordseo="Ashish-Bhasin">Ashish Bhasin</keyword>, CEO APAC and Chairman India, dentsu supported the decision to postpone the IPL for now. “Given the prevailing pandemic situation, I think it is the right decision to postpone IPL for now. The health and safety of all the players and everyone involved I think is paramount and keeping in mind the situation in the country and the prevailing mood in the nation, in my view it is the right decision. IPL is the single largest property on television in India and something that appeals to a wide target audience, across the geographies. It has unparalleled reach and has always proven to be an excellent vehicle for brands and I think that will continue to be so and that will not change. Given the fact that several parts of the country are going into lockdown, there are emergency measures been taken in different cities and towns to curb the pandemic, the severe shortages and difficulties being experienced, lives being lost to the pandemic, I think it is more appropriate to focus on that then on commercial issues for now. I’m sure the commercial issues will get discussed and resolved in an appropriate manner.” While she said that the suspension will amount to substantial business impact for a lot of the stakeholders, <keyword id="3123098" type="PERSON" weightage="20" keywordseo="Neena-Dasgupta">Neena Dasgupta</keyword>, CEO and Director, Zirca Digital Solutions also stated that she would not be in favor of it resuming at a later date. “There is definitely going to be a substantial business impact on all associated with the annual spectacle. It's not just Star and BCCI that would be losing revenue but other people as well whose revenue is linked to IPL. Media agencies, digital agencies who were riding big on IPL would now have to look for ways to compensate for the lost revenue opportunity. While it is being said that the tournament would resume during better times, no one should place their bets on it. As a business I would not be in favour of the decision, but looking at the current scenario, saving human lives is top most priority. I would like to say to all my fellow colleagues across the industry, “Hang on and stay safe, this too shall pass,” she said. Pointing at how the first-time advertisers would perhaps be the least daunted by the development, <keyword id="1505615" type="PERSON" weightage="20" keywordseo="Ashish-Khazanchi">Ashish Khazanchi</keyword>, Managing Partner, Enormous Brands said, “Suspension of IPL will certainly have near-term adverse impact - both in terms of business objectives of advertisers and even more importantly on the market sentiment. Heavy investments may be held back because there's going to be unpredictability on how the returns on investments may turn out to be. The first-time advertisers however are probably going to be the least daunted going by my extensive work with them. For a few important reasons. One, their businesses are heavily digital-enabled. That part of the world will roughly continue unfazed and may actually gain shares at the expense of the traditional business models. Two, they have a much higher risk appetite than traditional business. The older businesses are usually in a consolidate mode, while all start ups are in an aggressive growth and acquisition mode. They may actually take advantage of lesser media saturation to build share of voice. The cancellation is somewhat likely to cast a little shadow of uncertainty even on the World Cup. But only the next few months will tell us the way for sure." Chetan Asher, Founder &amp; CEO - Tonic Worldwide said, "IPL is a major vehicle for visibility for startups in India and brands associated with the event can become a household name, from a marketing perspective. While the suspension derails the opportunity for them, given the current context that's unavoidable and a step in the right direction. However, they can channelise their investments and energy in trying to make a difference by partnering with NGO’s providing relief during Covid-19." Earlier this year, a report from Duff &amp; Phelps had revealed that the value of the IPL ecosystem witnessed a 3.6% dip in 2020. So how will the suspension this year further impact its value? Varun Gupta, Managing Director and Head Valuation Advisory- APAC, Duff &amp; Phelps, A Kroll Business said, “If the tournament had merely been suspended and restarted within a week or two, it might not have much of a difference to the revenues of the IPL or that of the franchisees. However, it appears that that the tournament is postponed indefinitely, which would have the following impact – Firstly, IPL would suffer significant revenue losses for the current season. There will be loss of sponsorship and broadcasting revenues for BCCI. The league was already coping with loss of revenues from ticket sales and in-stadia F&amp;B, besides the loss of revenue last year due to <keyword id="215177" type="COMPANY" weightage="20" keywordseo="Vivo">VIVO</keyword> pulling out for the 2020 season. Secondly, the teams will also suffer revenue losses on account of reduced revenue from the central pool and loss of team sponsorship revenues. Having said that, one must also acknowledge that while it was ongoing over the last few weeks, the IPL provided 3-4 hours of much needed diversion and relief to the Indian masses who are reeling under a barrage of bad news on the Covid front. IPL’s ability to pull TV audiences continues unabated. Secondly, the value of any enterprise is based on its future cash earning capacity. To our mind, while there will be some revenue loss this year, the future revenue generation ability of the IPL is undiminished.” Sanjay Mehta, Joint CEO of Mirum India said that while the move will have an impact on brands, it also gives them time to rethink their communication strategies. “The suspension of the IPL, then, is going to hurt all those brands. Many (such as CRED, for example) would have invested significant sums in new creatives. Others would have planned campaign schedules and connected the same to product demand forecasts and inventory placement in stores. These plans will all get impacted, as finding alternate spots to run that kind of ad inventory will not be easy. On the other hand, many businesses and their customers are themselves impacted due to the second wave of Covid and might see this as a sigh of relief in a way, as they might save money for ad inventory that is not run. Also, at a time when the mood of a large number of citizens is very low, having "in-your-face" advertising urging you to purchase something as if life was normal, was a little jarring too. Maybe this break gives them time to rethink their creative strategies, for communication in the midst of the Covid challenges,” he said. Ambika Sharma, Founder &amp; MD, Pulp Strategy added, “The battle with Covid-19 which started a year ago has disrupted the operations across the globe. In India, with its huge populace it has become a daunting task to overcome despite safety and Covid-19 protocols. The IPL which is an extremely popular event that everyone looks forward to, should not have been allowed as the charm and excitement of watching and engaging on the ground cannot be matched with watching it at home without your friends and dear ones and right now you see only devastation in either your neighbourhood, family or anywhere. The high stakes of IPL should have been looked into, especially when we see players falling to Covid infections. The infection can have multiple manifestations on the health of the players which can lead to serious lifelong illness. While we stare at huge losses, be it for the Sponsors, Broadcasters and BCCI, the environment is least conducive to host these matches. A mutually agreeable formula by key stakeholders can be adopted transparently to arrive at a decision, especially when the medical experts are warning us about the Covid peak.” Speaking about the impact of the move on brands as well as agencies that have worked on campaigns for their clients, Shradha Agarwal, COO and Strategy Head- Grapes Digital said, "This is definitely going to affect the marketers. There are creative works, campaigns that are yet to be launched as brands were waiting for the IPL to enter its second phase. In May many brands would have come out with ads and campaigns because the IPL advertising inventory is sold through long term contracts that are signed before the tournament begins. This will also impact digital agencies that are ready to launch their campaigns with influencers based on IPL. There are few possibilities, firstly, the IPL is suspended and not dropped hence, advertisers will wait for the league to resume or some clients would cease the campaign and work on Plan B because the budget was allocated for a specific period, and if the quarter changes they will back out. Small advertisers might take the route of moving to regular inventory instead of investing for the remainder of the season in one go." What route the broadcaster takes in the next few days to rejig its advertising deals with brands and sponsors is something we will need to wait and watch.

As IPL gets suspended indefinitely, experts discuss the broad implications of the move on all stakeholders

By Kushan Sarkar New Delhi, May 24 () Tax exemption for future global cricket events in India has once again become a bone of contention between the BCCI and ICC as the former gears up to host the 2021 T20 World Cup and 50-over showpiece event in 2023. The ICC and BCCI have had a long standing feud on tax exemptions since the 2016 World T20 in India. An ICC spokesperson said that both parties are trying to reach an amicable solution. "The ICC and BCCI have been working in partnership to address the issue of tax exemptions for ICC events that is a requirement of the host agreement signed by all parties at the beginning of the cycle in 2015 and this work is ongoing," the spokesperson tod . "There are certain timelines within the agreements that we collectively work towards to ensure we can deliver successful world class events and continue to invest in the sport of cricket. "In addition to this the ICC Board agreed clear timelines for the resolution of the tax issues which we are guided by," the spokesperson added. While the outgoing ICC chairman Shashank Manohar and chief executive Manu Sawhney have been in constant touch with BCCI president Sourav Ganguly and secretary Jay Shah, the BCCI top-brass didn't like the tone of mail sent by the parent body's legal head Jonathan Hall. Hall, in his mail, has written about the BCCI not adhering to timelines on committing to tax exemptions as per the agreement. "The tax structure is not decided by the BCCI but by the Indian government. It is our government that decides whether exemption will be possible or not. For the record, Formula One also wasn't given tax exemption," a senior BCCI official told . Prior to 2016 World T20, the BCCI got tax exemptions for global events, as stated in an earlier documentation of the erstwhile Committee of Administrators (COA). Normally, the ICC seeks exemption on excise duties for importing TV production equipment and ticketing. But in this case, Star Sports, which also has the BCCI's home match rights, has a set up in India. This had been the bone of contention during 2016 Word T20 also and that matter is up for hearing in the ICC tribunal. "We understand that as the nomination process of new ICC chairman starts on Tuesday, suddenly there has been a flurry of communication. You can be rest assured that T20 World Cup in 2021 and 2023 ODI World Cup is going nowhere. "As far as timeline is concerned, we had told ICC that unless lockdown is lifted, we can't have discussions with government officials," the influential member said. Even an ICC Board member said that discussions should be on to find a plausible solution as the first deadline for tax exemption was December, 2019. The tax issue finds mention in a COA document of July 6, 2019, when the BCCI legal team was asked to get in touch with a British law firm as legal cases pertaining to ICC falls under the UK law. KHS BS BS

BCCI vs ICC tax issue: Exemptions unlikely as per Govt rule, global body cites 'promised timeline'

Ecommerce giant <keyword id="18635" type="CITY" weightage="20" keywordseo="Amazon">Amazon</keyword> is applying for the media rights to broadcast <keyword id="6354831" type="ORGANIZATION" weightage="20" keywordseo="Indian-Premier-League">Indian Premier League</keyword> (<keyword id="6354312" type="CITY" weightage="100" keywordseo="IPL">IPL</keyword>). According to a news report, this move is aimed at strengthening Amazon’s footing in India. 
 <keyword id="6354756" type="CITY" weightage="20" keywordseo="BCCI">BCCI</keyword> is satisfied with the response it has been drawing so far after it announced on last Sunday the sale of the IPL rights - broadcast and digital for ten and five years respectively - to be sold individually or in a bundle for the next designated period, as per The Times Of India. 
 Amazon founded by <keyword id="191583" type="PERSON" weightage="20" keywordseo="Jeff-Bezos">Jeff Bezos</keyword> which has more than a dozen global subsidiaries, is the first among interested overseas parties that has picked up the Invitation To Tender. Sources tracking developments say BCCI expects the global market to show keen interest in the digital rights of the IPL and Amazon picking the tender at the first available opportunity is an indicator of the same. "Everybody's talking about the possibility of the IPL rights battle being between Star and Sony. But our guess is there are going to be surprises in store," a source in the know of things told TOI.

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You Searched For "bcci media tv rights" and got 12 results

Viacom 18 bags BCCI media rights in both digital and TV for next five years

IANS

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You might soon be able to watch IPL on Amazon