Money Seven and Foxtel nab cricket broadcasting rights in $1 billion deal

08:01  13 april  2018
08:01  13 april  2018 Source:   The Age

Foxtel and Fox Sports merger completed, sharemarket float ahead

  Foxtel and Fox Sports merger completed, sharemarket float ahead News Corp and Telstra have combined Foxtel and Fox Sports Australia with a sharemarket float ahead.News Corp and Telstra have combined Foxtel and Fox Sports Australia into one company, as chief executive Patrick Delany steers the company towards a sharemarket float.

A fierce bidding war is under way for the rights to stream and broadcast cricket in Australia for the next five years. The price is expected to reach A$ 1 billion , almost double the previous deal . Foxtel is currently not involved in broadcasting domestic cricket , but it is likely to be part of new negotiations.

A Seven / Foxtel consortium for cricket rights may shut Ten out of broadcasting any of the summer sport. However, the ARLC and NRL clubs made their agreement after a $ 1 .9 billion TV rights deal had been negotiated, while the cricket rights are yet to be sold.

After four decades, Nine is losing cricket.© AAP After four decades, Nine is losing cricket. Seven West Media will become the free-to-air broadcaster for the next six years of cricket ending Nine’s four-decade stranglehold on the sport, but a large number of matches could be held back for pay-TV in a $1 billion deal to be announced on Friday.

Rupert Murdoch’s News Corp-controlled Foxtel will pay for the majority of the rights in a deal that will reshape the broadcast landscape for Australia’s most popular summer sport.

The new deal will mean Nine is no longer the home of Test cricket, and Ten loses ownership of the Big Bash League rights.

Sources close to the discussions say Foxtel could broadcast One Day Internationals and International Twenty20 games on pay-TV exclusively.

Is this $1 billion cricket deal all it’s cracked up to be?

  Is this $1 billion cricket deal all it’s cracked up to be? After four decades, Nine has lost the broadcast rights to the cricket. But the deal might not be total cause for celebration for new rights holders Foxtel and Seven.The much talked about deal will see Nine end its 40-year association with the game. Nine was reportedly losing more than $20-30 million a year on the cricket and only making a profit when the Ashes series rolls around (they’ll still be broadcasting the upcoming 2019 series). The network has recently taken up partnership with Tennis Australia, snatching the rights from Seven for $60 million a year (against the $40 million Seven was paying).

A fierce bidding war is under way for the rights to stream and broadcast cricket in Australia for the next five years. The price is expected to reach A$ 1 billion , almost double the previous deal . Foxtel is currently not involved in broadcasting domestic cricket , but it is likely to be part of new negotiations.

Seven , Foxtel and Telstra will fork out .508 billion over six seasons to broadcast the AFL in what is the largest Australian sports rights deal in history. Mr Murdoch has been in Australia for more than a week, a time during which talks with the AFL accelerated rapid speed after the NRL moved on

This is a potentially controversial move because these matches are listed on the anti-siphoning list, which keeps certain sporting events available for all Australians on free-to-air networks. Only about a third of Australian households have Foxtel.

Under the deal expected to be announced, it's likely Seven would simulcast the Tests and 43 Big Bash League matches, though it is not expected to get the prized digital rights under the deal.

Seven West Media and Foxtel are the new homes of cricket..© Bloomberg Seven West Media and Foxtel are the new homes of cricket.. Digital rights were a sticking point for some of the free-to-air broadcasters during the negotiations, including Nine and Ten, which had resubmitted a joint bid for five years of cricket totalling $900 million.

Cricket coverage faces major shake-up with Seven and Foxtel winning TV rights battle

  Cricket coverage faces major shake-up with Seven and Foxtel winning TV rights battle <p>Cricket Australia has put a tough couple of weeks behind it with a massive new $1.2 billion TV rights deal, double the value of the previous rights package with the Nine Network.</p>Cricket Australia has put a tough couple of weeks behind it with a massive new $1.2 billion TV rights deal, double the value of the previous rights package with the Nine Network.

Cricket viewing habits could change as a result of the next TV rights deal . Tennis may keep its free-to-air rights with Seven and potentially sell all streaming rights to a telco or global streaming giant. The question also is whether Cricket Australia 's structuring of its rights in order to tempt Foxtel into

The AFL's new contract with Seven , Foxtel and Telstra might look like pocket money when compared to some of the biggest sports broadcasting deals The EPL's latest domestic deal was for .8 billion - global rights , while Indian cricket 's domestic rights (not including the IPL) were sold for

Seven West Media issued a statement to the stock exchange confirming its bid with Foxtel was successful.

"Contracts are being finalised but are not yet signed," the statement said.

A further announcement is expected this weekend.

A statement from a Nine spokesman said the network was "immensely proud" of its decades long association with cricket.

Nine has future deals to cover the next Ashes series from England and the ODI World Cup in the UK, both in 2019, and men and women's T20 World Cups in Australia in 2020.

“But most of all Nine is excited by our new partnership with Tennis Australia," the spokesman said.

"A partnership that enables us to further evolve our business model into a new future. A partnership built on common values and vision to mutually build the game and Nine's business as we connect with more audiences the way they choose.

“Our focus remains on the cross platform opportunities in front of us and finding the best ways to continue to create value for our shareholders in to the future.”

End of an era confirmed: Foxtel and Seven snatch cricket rights from Nine

  End of an era confirmed: Foxtel and Seven snatch cricket rights from Nine After 40 years of coverage, Channel Nine has lost the broadcast rights to Australia’s iconic summer of cricket, with Foxtel and Channel Seven swooping in with a billion-dollar deal for both international matches and the Big Bash League. The deal is worth almost $1.2 billion over a six-year period, which is more than most predictions stated before the announcement. It will be the first time Seven have been involved in cricket coverage.

THE AFL will reap a major financial windfall after striking a colossal new six-year, .508 billion broadcast rights agreement. The new deal will see Channel Seven , Foxtel and Telstra continue as the League's broadcasters under the new deal , which will run from 2017 to 2022.

Really? The AFL had record broadcast rights , with record Fox Footy ratings (last year) and decade high FTA ratings (2016). Bid $ 1 billion . I distrust the facts and motive behind any News Ltd story about Foxtel and cricket rights .

A statement from Network Ten chief executive Paul Anderson expressed his disappointment with the decision.

“We are disappointed that our bid for the cricket television rights was rejected," he said.

“Network Ten turned the Big Bash League into the television phenomenon it is today and one of the most popular sports in Australia, a sport that all Australians were able enjoy for free. We had planned to extend that innovation to other forms of the game," he said.

“Network Ten and our BBL team led by David Barham revolutionised the way cricket is broadcast in Australia and attracted new, younger viewers to the game.

"At the same time, we invested heavily in the Women’s Big Bash League, broadcasting matches in prime time for the first time and raising its profile significantly."

Seven had been blindsided by Nine’s $60 million bid for tennis rights, but this new deal would fill its summer sports schedule.

Nine confirmed to investors it did not have the rights for Australian international cricket from 2018/19 summer.

The statement said it would not impact its fiscal 2018 results, but was "not possible" for it to give an indication of the impact on fiscal 2019.

Foxtel recently said it had taken its bid for cricket off the table after Fairfax Media revealed it had made an aggressive offer.

Comment: Ten's new owner flunks first big test, but how much will it hurt? .
CBS flunked its first big test in Australia, but it could be a blessing in disguise.It was the first big test for Network Ten's new owners, CBS.  And they flunked it.

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