The next Media rights deal (2023-?)

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Gigantor

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I suspect it will be complementary rather than exclusive to a cable option.

There are still three years to go on the current deal and already there is Foxtel go, Kayo and Telstra resting on alternative mediums to FTA and cable. There is also the "watch AFL" global pass for people outside of Australia

It's at least a no brainer that they would look to increase competitive tension ahead of the next rights deal
Good post, also, unless a partner wants to pay a premium, there will be no exclusive rights, especially in terms of the online rights, might be spread far and wide, and the AFL themselves will be broadcasting.

I don't believe the AFL can make enough going it alone, but if two or three others are wanting to throw a bit of coin into the mix, all of a sudden it's a decent pot.
 

NoobPie

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Good post, also, unless a partner wants to pay a premium, there will be no exclusive rights, especially in terms of the online rights, might be spread far and wide, and the AFL themselves will be broadcasting.

I don't believe the AFL can make enough going it alone, but if two or three others are wanting to throw a bit of coin into the mix, all of a sudden it's a decent pot.

I definitely reckon the AFL should move away from granting FTA exclusivity next time. Parcel it up and sell it off to at least 2 providers

Last year channel 7 repeatedly shunned the AFL when it clashed with anything and it is pretty much an innovation free zone
 

Billy ray

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I think sometime in the future there will be AFL pay for view for certain blockbuster matches..
Im happy to pay per view now for the grand final. Would pay $25-40 for grand final live and ad free on foxtel like every other game in the season. Fox can keep some of the money but pass on the majority of it to seven to ‘compensate’ them for loss of eyes
 

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telsor

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Yes eyes =advertisers. So advertisers will pay seven less so seven need to make up that money. So they get money from me via foxtel.
As it stands though, it's worth more than just money. FTA TV rights to big events also provides credibility.

Or to put it another way, to convince Ch7 to sell the GF would cost more than 'just' the profit they'd make from the game.

The AFL would also probably object strenuously to the lower PR value of 'only' having ~half as many people watch the game.
 

Our Game

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As it stands though, it's worth more than just money. FTA TV rights to big events also provides credibility.

Or to put it another way, to convince Ch7 to sell the GF would cost more than 'just' the profit they'd make from the game.

The AFL would also probably object strenuously to the lower PR value of 'only' having ~half as many people watch the game.
But most likely paying a lot more than CH 7 does now or any FTA TV company.
In any case a nice big stick to belt Seven with during the next negotiations.
 

Kwality

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Yes eyes =advertisers. So advertisers will pay seven less so seven need to make up that money. So they get money from me via foxtel.
Interesting the coverage on the Bathurst 6 hour, hardly a mainstream event, perhaps an indication of where the AFL coverage may head.
No FTA, Fox showing the pictures for view on Fox506 (not sure if it is generally available on Fox), Kayo picking them up, and streaming available, with coverage produced by noted motorsport production house AVE, the race will be broadcast live with coverage right the way around Mount Panorama.
http://bathurst6hour.com.au/coverage-guide

For the converted http://bathurst6hour.com.au/event-info/race-program
 

Kwality

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Courtesy of The Wookie tweet link

...... as reports emerged in South America that the company was set to lose exclusivity on its rights to the Copa Libertadores after viewers in the region apparently complained of streaming issues. Placed in the same context as news that MLB had trimmed its Facebook streaming deal from 19 games to just six for this season, the cynics needed no second invitation to suggest that the company was already in retreat.

http://www.sportspromedia.com/opini...TT+Newsletter+2019-04-18#.XLpL4OfJxeU.twitter

To put a local spin on it are these players likely to bid on the next AFL rights, the AFL would like us to believe so
'but they are hardly the kind of moves that will make established heads like ESPN, Sky Sports and Fox run for cover.'

Good get Wookie :thumbsdown:, read it in full.
 

NoobPie

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The next TV rights deal will have the following players bidding for it:

-Terrestrial TV stations including a new major US player through CBS owning 10
-STV through Cabal / satellite (i.e. foxtel)
-Telcos including Optus this time
-Streaming service providers including some of the FANG

The next AFL rights will still no doubt include at least 3 FTA games a week and a cable / satellite option for at least the majority of games

Foxtel have already read the writing on the wall launching KAYO. Streaming will be a big part of the next TV rights value

Whether or not any of the FANG end up with the AFL rights, they will be a part of the "competitive tension" that will be putting upward pressure on the rights value.
 

Kwality

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Arent Fox & the streaming services already working together overseas:
Not everything is as it first seems, you know, but Facebook did subsequently confirm a one-year content-sharing partnership with Fox Sports. The deal makes more games from the South American club soccer tournament available for free on the Watch platform, while the pay-TV broadcaster has gained access to all fixtures that were due to be shown exclusively on Facebook on Thursdays.
http://www.sportspromedia.com/opini...TT+Newsletter+2019-04-18#.XLpL4OfJxeU.twitter
 

NoobPie

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Arent Fox & the streaming services already working together overseas:
Not everything is as it first seems, you know, but Facebook did subsequently confirm a one-year content-sharing partnership with Fox Sports. The deal makes more games from the South American club soccer tournament available for free on the Watch platform, while the pay-TV broadcaster has gained access to all fixtures that were due to be shown exclusively on Facebook on Thursdays.
http://www.sportspromedia.com/opinion/facebook-live-sports-rights-strategy-review?utm_source=ActiveCampaign&utm_medium=email&utm_content=OTT+news:+Eleven+Sports+and+Onefootball+take+La+Liga+PPV;+plus+North+American+sports+industry+OTT+spending+to+hit+US$6+8bn+by+2021&utm_campaign=SportsPro+OTT+Newsletter+2019-04-18#.XLpL4OfJxeU.twitter
Well it seems like it, but that is the point

I can't see the AFL abandoning foxtel whatever the offer at the next TV deal because there will still be a stack of people who won't have reliable enough access to the internet in 2023. It is possible though that the AFL will not package the streaming with the subscription tv but still sell full telecast / simulcast rights to foxtel at a lower price.

Ultimately though the AFL has a number of different options across each of the media platforms (i.e. terrestrial, cable/satellite, telephony and internet).

It has more players and more possibilities next time around.
 
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Arent Fox & the streaming services already working together overseas:
Not everything is as it first seems, you know, but Facebook did subsequently confirm a one-year content-sharing partnership with Fox Sports. The deal makes more games from the South American club soccer tournament available for free on the Watch platform, while the pay-TV broadcaster has gained access to all fixtures that were due to be shown exclusively on Facebook on Thursdays.
http://www.sportspromedia.com/opinion/facebook-live-sports-rights-strategy-review?utm_source=ActiveCampaign&utm_medium=email&utm_content=OTT+news:+Eleven+Sports+and+Onefootball+take+La+Liga+PPV;+plus+North+American+sports+industry+OTT+spending+to+hit+US$6+8bn+by+2021&utm_campaign=SportsPro+OTT+Newsletter+2019-04-18#.XLpL4OfJxeU.twitter
I think Fox Sports Latin America and Brazil are currently owned by Disney but they have to sell it off. The rest of the Fox Sports networks around the world are owned by Disney as well now. Murdoch only has stakes in Fox Sports US (through Fox Corp) and Fox Sports Australia (through Foxtel which is owned through News Corp Australia) now.

https://media.sportbusiness.com/new...x-sports-divestiture-in-brazil-mexico-report/
 
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Kwality

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Well it seems like it, but that is the point

I can't see the AFL abandoning foxtel whatever the offer at the next TV deal because there will still be a stack of people who won't have reliable enough access to the internet in 2023. It is possible though that the AFL will not package the streaming with the subscription tv but still sell full telecast / simulcast rights to foxtel at a lower price.

Ultimately though the AFL has a number of different options across each of the media platforms (i.e. terrestrial, cable/satellite, telephony and internet).

It has more players and more possibilities next time around.
The big dollars currently come from Fox, the AFL want these dollars & if they water down exclusivity it comes at a price. Are the advertising dollars there for the alternative bidders, not something I know.

I'd think the NRL State of Origin series as more likely to appeal to FANG to make a statement, but I'd guess that is out of the question until the next round of media rights.
 

Kwality

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I think Fox Sports Latin America and Brazil are currently owned by Disney but they have to sell it off. The rest of the Fox Sports networks around the world are owned by Disney as well now. Murdoch only has stakes in Fox Sports US (through Fox Corp) and Fox Sports Australia (through Foxtel which is owned through News Corp Australia) now.

https://media.sportbusiness.com/new...x-sports-divestiture-in-brazil-mexico-report/
Didnt the Disney/Fox deal go thru very recently?
 

NoobPie

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The big dollars currently come from Fox, the AFL want these dollars & if they water down exclusivity it comes at a price. Are the advertising dollars there for the alternative bidders, not something I know.
Foxtel pay the most under the current deal in exchange for exclusive or simulcast rights to every single home and away game. They are not just paying that for shyts and giggles. They are paying it because that's what they were required to pay to acquire those rights

The AFL will be aiming to increase the value of those rights by exploiting emerging technological platforms

From 98 to 2001, channel 7 were paying $40M a year for the AFL rights, a fraction of which related to its cabal channel
IN 2002 to 2006, fox were contributing a fraction of the $100M that they, ten and nine collectively paid for the rights

In the 2007 to 2011 rights, foxtel was paying ~$65M out of ~$160M.
In the 2012 to 2016 rights, the FTA portion actually went backwards to ~$85M a year with foxtel and telstra increasing their contribution to ~$165M a year (which included full similcast rights and increased content)
In the current rights deal there was another jump in both FTA (~$150M) and cable / streaming (~275M)

Ultimately the lessons are:
-The AFL has exploited new technologies and competitive tensions to increase its rights value from between 50% and 150% at every new deal since 1987.
-The AFL will do precisely the same next time around and the smart money is that they will land in that increase-range again

They are not just going to stick with a model giving foxtel both cable / satelite and streaming rights just because they paid the most last time. Completely illogical


I'd think the NRL State of Origin series as more likely to appeal to FANG to make a statement, but I'd guess that is out of the question until the next round of media rights.
Why would they pay for a mere 6 hours of content that is guaranteed to be on FTA?????
Why do you think that "making a statement" will be their motive???

What streaming offers, particularly to a provider with alot of data about a user, is targeted advertising that is not possible on FTA for instance. There is potentially a massive "freemium" opportunity for the streaming rights next time round with targeted advertising for those wanting to avoid a subscription....but it doesn't have to actual happen to impact the rights value
 
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