Broadcast Rights of Premier League to be Sold for Record PricePosted By: Oendrila De | January 25, 2018
Billions will have to be doled out by Sky Plc as well as BT Group Plc in order for them to keep their rights of broadcasting the English football matches. The main reason behind this hike in the broadcast Rights of Premier League because of the new entrants in the competition. The price push is reaching a record of an auction that will conclude in the next month, according to the predictions of Ampere Analysis.
The domestic rights for the English Premier League for three years will reach a price of 5.6 billion pounds to 5.9 billion pounds, according to the estimates of the media consultancy. This is a clear representation of a rise of around 15% from the auction of 2015, when the approximate value was correctly predicted by Ampere.
Broadcast Rights of Premier League to be Sold for Record Price
Sky will most likely take 4-5 of the 7 available packages, while BT will take the other 2-3; another bidder, which might be either Liberty Global Plc or Amazon.com Inc., will take one or two, according to Guy Bisson from Ampere. The number of matches is also being increased by English Premier League, as it is looking to attract the attention of a larger number of bidders.
A model has been built by Ampere, for the purpose of forecasting the possible value of the rights. The model has given out numbers as big as £7 billion, though Ampere believes the estimate to be too high due to the pressure that the profit margins of the companies have on them, alongside a reduction of the competition between Sky and BT, due to a deal regarding channel-sharing.
When the deals are taken into account beyond the UK, the English Premier League is set to get a total of about £10.9 billion from the three-season broadcast rights from 2019, as per the estimations of Ampere. The global deals that have not yet been awarded will also see an increase in the value.