IPL Media Tender
IPL Media Tender: Sony Pictures Network (SPN), one of the main contenders for the IPL Media Rights for the next cycle, is not happy with the BCCI’s ‘steep’ starting pricing. The reserve price of 32,890 crores established by the Indian Premier League Media Rights Cricket Council (IPL) for the period 2023-27 has caused severe concerns among NP Singh, chief executive officer and CEO of Sony Pictures Networks India (SPN).
IPL Media Tender: Given the fact that the IPL has suffered a significant reduction in viewership this season, Singh believes the Cricket Control Board of India (BCCI) must be realistic. The suggested base price is more than double what StarIndia, the current owner of the rights, paid for the current five-year cycle, which was 16,347.5 crore. “It’s a pretty aggressive reserve price, and there has to be a reality check because the IPL’s TV audience has decreased by more than 34%, and the rights are going to be renewed,” says Singh to Economic Times.
“Given the reserve price, the estimated expenditure is quite large, and we will have to take into consideration the market’s predicted growth as well as probable economic and other dangers in the next five years,” he added. “So, before we make a decision, we’ll weigh everything.” Last month, the BCCI announced the opening of the IPL media rights tender (ITT).
The rights will be auctioned off via an e-auction mechanism. The board has increased the BASE-PRICE by about 100%, which is a major source of concern for one of the country’s largest broadcasting companies. The council decided to split the digital rights into two bundles this time. One for all games and the other for 18 non-exclusive games, including the season opener, playoffs, and all Sunday evening games. Broadcasters such as SPN have struggled to separate digital rights.
The IPL media rights are up for grabs, and SPN is one of the bidders. Disney Star, Zee Entertainment Enterprises (ZEE), Viacom18/ TV18, Amazon, and Fancode/ Dream11 are among the others in the running.
Viacom 18, which is funded by Reliance, has established itself as a major contender. Earlier this month, the network debuted its English (Sports18) and Hindi (Sports18 Khel) sports channels. Now, in the guise of LUPA Investments, a massive war chest is poised to defend the rights. For the first time, the rights to broadcast matches on television and stream them online will be sold separately, allowing Amazon.com Inc. and its Prime video service to enter the market.
“Winning the auction is all about status and vanity, so expect Reliance, Amazon, and others to exercise their muscles,” said Aditi Shrivastava, co-founder, and CEO of digital entertainment firm Pocket Aces. “It’s a major deal, and bidders will undoubtedly go all out to obtain the rights.”
