Tag: IPL Media Rights

Sports not the only way to grow OTT business: Punit Goenka

Mumbai: “Sports is not the only way to grow the OTT business,” remarked Zee Entertainment Enterprises Ltd (Zeel) MD and CEO Punit Goenka in an investor call on Wednesday. Zeel posted its third quarter financial results for the fiscal 2022. The company’s OTT platform Zee5 crossed 100 million monthly active users (MAUs) for the first time.

While responding to a question on how acquisition of sports content will grow the OTT business, Goenka replied, “Until now we have not factored in sports in our OTT business. It is a faster way to grow the business but can it be done without sports? Certainly.”

Streaming platform Zee5 posted impressive metrics during the quarter garnering 101.9 million MAUs and 9.6 million daily active users (DAUs) growing sequentially and over last year in terms of both MAUs and DAUs. The watch time on the platform also significantly improved to reach 201 minutes which is up by 15 minutes quarter-on-quarter. Zee5 released 51 shows out of which 11 were originals during the quarter. The platform’s strong performance was registered on the back of a compelling slate of content launched during the quarter and enhanced user experience, said Goenka.

Meanwhile, the merger process initiated between Sony Pictures Networks India and Zeel in December is making steady progress. The company noted that it will apply to National Company Law Tribunal (NCLT) after receiving necessary approvals for its scheme by the stock exchanges. Furthermore, the company will seek the approval for the scheme from the Competition Commission of India (CCI) in parallel.

On the linear business side, all India viewership share of the network decreased by 40 bps to 17.3 per cent. During the quarter, the company launched 25+ shows across markets resulting in lower margins. “There have been significant investments in content this fiscal which in turn will reflect in our margins in the short term,” noted Goenka. “This is in line with the content strategy implemented across various genres. As we launch new shows across markets to drive viewership on the linear side we will post strong growth across viewer metrics.”

“Advertising spending and consumer sentiment saw a significant boost in demand and we see this trend continue as we move forward,” he observed.

Also read: Zeel reports Rs 21,126 million revenue in Q3’FY22 | Indian Television Dot Com

Zeel posted an increase in revenues by seven per cent quarter on quarter but saw a slight decline of three per cent year on year in the third quarter of 2021. Both subscription and advertising revenues were lower compared to the same period last year.

“In the previous fiscal, we were recovering from a nationwide lockdown which had led to a huge pent-up demand,” explained Goenka. “On subscription revenue, the embargo on pricing has significantly impacted the overall growth across the industry. With NTO 2.0 implementation pushed to the next fiscal year, it is still too early to predict how FY 2023 will look.”

He added, “In the last 12 months to 15 months the pay TV market has seen an erosion of 4.6 million households which have moved from pay TV to free to air and this is largely caused by the pandemic situation. That’s the cause of further degrowth in subscription revenues. The total TV business has reduced both in terms of reach and revenues on account of a slowdown in the movie business. The lack of fresh movie content for the last two years on the linear side has definitely had an impact. We’ve also had a cricket world cup which impacts movie viewership.

Speaking about the impact of NTO 2.0 on subscription revenues he said, “It’s still too early to predict. We’re in an uncertain environment with regards to NTO 2.0 implementation. We need a 45-day window to implement and we’re already on 2 February. We must get a clear go ahead on implementation of NTO 2.0 by 15 February.”

Zee Studios released five films during the quarter out of which one was Hindi and the rest were in regional languages. The movie business faced pandemic induced headwinds but overall opening of theatres and strong pipeline of films augured well for the movie industry at large, said Goenka. “Our studios business has a strong pipeline of films for the year ahead and we are hopeful that the third wave of the pandemic will subside soon, encouraging consumers to return to the big screen. We remain hopeful for an improvement in creative revenues for the subsequent three quarters.”

On the impact of the third wave, he said, “The third wave and surge of infections in 2022 could potentially have an impact on the fourth quarter results although it is too early to predict the outcome. The faster rate of recovery during this wave assures the quick resumption of services and activities across markets. We are hopeful that we will end the financial year registering steady growth across our businesses.”

Zeel posted Rs 21,126 million in the quarter out of which advertising revenue stood at Rs 12,608 million and subscription revenue at Rs 7902 million. Zee5 posted quarterly revenues of Rs 1459 million which is up by 11.8 per cent quarter-on-quarter.

February 3, 2022
BCCI to release tender of IPL 2023-27 media rights cycle on 25 Oct

Mumbai: The Board of Control for Cricket in India (BCCI) has announced the dates for release of the tender of Indian Premier League (IPL) media rights for 2023-27 cycle. The cricket governing body made the decisions in a meeting on Tuesday.

The BCCI has decided that the IPL media rights tender for the cycle 2023-2027 will be released immediately after the appointment of two new IPL teams which is scheduled to be announced on 25 October.

In a first for the IPL, the last two league matches before the Vivo IPL 2021 playoffs will be played concurrently. On the last day of the league stage (8 October) of the ongoing season, instead of having one afternoon match and one evening match, two matches (Sunrisers Hyderabad vs Mumbai Indians and Royal Challengers Bangalore vs Delhi Capitals) will be played simultaneously at 7.30 p.m IST (6.00 p.m GST).

Star TV Network had been awarded the media (TV+digital) rights for the 2019-23 cycle for $2.55 billion. This year Sony, Jio, and Amazon are seen as top bidders for the media rights.

September 29, 2021
Aussie Sab Jaanta Hai: Star Sports launches second Ind vs Aus series TVC

MUMBAI: Barely after 48 hours of pulling off a major win — of global IPL media rights, Star India has taken up its upcoming project with full force. It is their efforts in the run-up to Paytm India versus Australia five-match ODI and three T20Is, starting from 17 September — Aussie Sab Jaanta Hai TVC.

Star Sports promises the upcoming India vs Australia ODI and T20 lineup to be the most-anticipated series of the season.

Star Sports’ in-house creative communications team has conceptualised the film, aptly setting the tone for a sensational cricketing season. It has been extensively promoting the series, which will define the next chapter in the contest between the two cricketing powerhouses.

The film is live on TV and Star Sports’ social handles.

With frequent tours and annual IPL stints, many Australian cricketers are now quite familiar with the Indian conditions, the film is set to “Aussie sab jaanta hai” jingle which brings alive the creative idea that the Australian cricket team is more at home in India. So, they know the ‘home turf’ as well as the Indian cricket team.The familiarity with Indian conditions, along with the quality and experience amongst the Australian team would mean a spectacular contest between two equally matched opponents.

The protagonist in the film is an Australian (Aussie) fan clad in the team jersey exhibiting his knowledge on all things quint essential Indian (history, cuisine and culture, etc.). Throughout the film, the Australian tourist surprises the locals across various walks of life, by displaying his know-how of all things Indian. The film culminates with Indian cricket legend Virender Sehwag making a surprise appearance and quipping, “The Aussie may know everything, but do they know enough to win on the field?”

The film is the second in a series of TVCs released by Star Sports for the series.The first film was cleverly crafted, depicting the two formidable opponents as a Kangaroo facing off a Tiger.

This year, Star Sports brings to cricket fans exciting action right from Diwali to Christmas, starting with the series.

Which other creative ideas Star India has up its sleeve before the series breaks.

September 6, 2017
IPL media rights e-auction plea denied, BCCI-channel ‘conflict of interest’ interim application allowed

MUMBAI: The Supreme Court has refused to direct the BCCI to conduct e-auctioning for awarding media rights relating for Indian Premier League(IPL) for the next five years.

A bench comprising the chief justice Dipak Misra and justices A M Khanwilkar and D Y Chadrachud did not consider the plea of the BJP leader Subramanian Swamy that the ongoing tendering process for awarding media rights for the IPL events be stayed and e-auctioning directed, PTI reported. The IPL matches are scheduled to start in April next year.

Committee of Administrators (COA) senior advocate Parag Tripathi said that the ongoing tender process was a better option as all the bidders put their best bid in a sealed envelope to get the media rights.

Swamy said he wanted to file an interim application highlighting alleged collusion and conflict of interest on behalf of a BCCI functionary who also runs a news channel (an apparent reference to the Congress leader Rajiv Shukla). This plea was allowed by the top court.

The apex court had earlier asked the COA chief Vinod Rai to file an affidavit specifying how the ongoing tender process was better than the e-auction.
The Supreme Court on 28 July sought the response of BCCI on Swamy’s plea that e-auction of the media rights should be done to ensure transparency as the rights are to be given for the next five years.

The apex court had last month told the BJP leader that it would think over his plea to accord urgent hearing in the case after Swamy referred to the apex court verdicts to buttress his point that it has been held that auctioning was the best method of awarding contracts.

Swamy had said that the amount involved in the award of IPL media rights was to the tune of Rs 300 billion, and the issue should not be decided in an “opaque” manner.

“This petition prays that the distribution of IPL rights, which is scheduled on 17 July, 2017, should be done in the most transparent mode available, that is via e-auction,” his petition had said.

It had alleged that all the activities of Board of Cricket Control in India (BCCI) were undertaken with “tacit concurrence” of the state governments and the Centre “who are not only fully aware but supportive of the activities of the Board.”

“It is a requirement that non-discriminatory and transparent method with the best international practices must be adopted for distribution of the valuable media rights so as to ensure the maximum revenue in the larger national interest,” Swamy’s plea had said.

He had alleged that there was a consistent attempt by vested interests to try and build a monopoly by getting the valuable rights in a non-transparent manner.

“Huge money is involved in the valuable rights associated with the game of cricket in India which makes it mandatory to have the auction process robust, completely transparent, in order to maximise revenue and prevent vested interests from making undue gains,” Swamy had claimed.

August 28, 2017
US$ 4.5 bn expected from IPL rights; SC recommends accounts scrutiny

MUMBAI: The Supreme Court on Friday froze all financial transactions between the BCCI and state cricket associations by directing the apex body not to disburse any funds till it resolves to abide by the Justice RM Lodha panel recommendations on reforms by 3 December . The top court ordered that none of the BCCI’s member-state associations will get a rupee till it complies in “letter and spirit” with the Lodha Committee reforms.

In a judgment, which was not announced beforehand or notified in the court’s cause list, a Bench, led by Chief Justice of India T.S. Thakur stood firm by its October 7 decision to choke the financial stream of the BCCI’s 25 state cricket associations till they fall in line. The judgment, pronounced by Justice D Y Chandrachud, asked the panel secretary to send a copy of the apex court order to the ICC chairman Shashank Manohar.

The judgment asked the committee to appoint an independent auditor to scrutinise the BCCI accounts and set financial limits for contracts. According to reports, BCCI is expecting close to USD 4.5 billion from sale of three IPL rights – TV, internet and mobile.

BCCI president Anurag Thakur and secretary Ajay Shirke have been ordered to file compliance reports before the Committee and the Supreme Court in two weeks.

Chief Justice Thakur, on October 7, made the court’s stand clear by ordering that the BCCI will not disburse Rs. 16.73 crore each to 12 state cricket associations. These associations were yet to get the balance payment of their share from nearly Rs. 2,500 crore the BCCI had received towards compensation on account of termination of Champion League T 20.

The appointment of auditors is significant as the multi-million dollar Indian Premier League (IPL) media rights are to be awarded for the next 10 years, starting 2018. Sony Pictures Networks holds the current IPL media rights till 2017, which it won with a whopping USD 1.6 billion bid.

Star India, Twitter, Facebook, Sony Pictures and Reliance Jio are now the major names in fray for the media rights.

Here are the top developments of the BCCI-Lodha panel case: On July 14, 2016, a two-judge Supreme Court bench, that included current Chief Justice of India TS Thakur, empowered the Justice RM Lodha-led panel to implement a series of reforms to bring in more transparency in BCCI’s style of governance. The committee suggested major reforms that included age caps, tenure restrictions, one-man-one-post, one state-one-vote, among others. The reforms were binding and would apply to the Board as well as its state units.

Lodha panel set BCCI two deadlines – September 30 to make constitutional changes (adopt the Memorandum of Association and Rules) and December 15 for the Board to form a nine-member Apex committee that will replace the powerful working committee

BCCI appointed former Supreme Court judge Justice Markandey Katju to review the Lodha panel recommendations. Katju called the Lodha panel “unconstitutional and illegal.” The BCCI promptly filed a review petition in the Supreme Court in July.

In August, BCCI secretary met the Lodha committee saying the AGM will conduct “routine” business. On the contrary, the Board advertised inviting applications for the post of selectors. Its agenda also included formation of a new working committee and even an ombudsman – all in defiance of Lodha panel orders.

Saying the BCCI conducted more than just “routine” matters, the Lodha panel filed a status report to the Supreme Court on September 28, complaining of non-compliance of its orders. The panel wanted BCCI’s top brass to be “superseded”.

BCCI, on October 1, cherry-picked a few Lodha panel recommendations but made no decision on the important proposals like one-state-one-unit and age and tenure caps for officials. BCCI also decided to disburse large sums of money (approximately Rs 400 crore) earned from TV rights to state units as infrastructure grants.

Lodha panel told BCCI’s bankers – Bank of Maharashtra and Yes Bank – to stop disbursing grants to state units without its approval. BCCI president Anurag Thakur told media that freezing of accounts will force BCCI to cancel the India vs New Zealand Test series. Justice Lodha clarified on October 4 that BCCI was misinterpreting its order to the banks. The panel never stopped any money for staging matches.

The Supreme Court, on 6 October, gave an ultimatum to the BCCI to ‘unconditionally’ accept the Lodha reforms or it will pass an order. BCCI refuses to give any such undertaking asking for time till 17 October. The top court gave the BCCI time till December 3 to implement reforms recommended by the Lodha panel.

The court had made it clear that continued defiance by state associations would witness their shares invested in fixed deposit accounts until they change their minds. The court had barred further disbursal of amounts, courtesy a resolution passed by in the Annual General Meeting held on November 9, 2015 or “any subsequent resolution” by the BCCI or its Working Committee, until the state associations submit their written undertakings to unconditionally comply with the Lodha reforms.

October 21, 2016
US$ 4.5 bn expected from IPL rights; SC recommends accounts scrutiny

MUMBAI: The Supreme Court on Friday froze all financial transactions between the BCCI and state cricket associations by directing the apex body not to disburse any funds till it resolves to abide by the Justice RM Lodha panel recommendations on reforms by 3 December . The top court ordered that none of the BCCI’s member-state associations will get a rupee till it complies in “letter and spirit” with the Lodha Committee reforms.

In a judgment, which was not announced beforehand or notified in the court’s cause list, a Bench, led by Chief Justice of India T.S. Thakur stood firm by its October 7 decision to choke the financial stream of the BCCI’s 25 state cricket associations till they fall in line. The judgment, pronounced by Justice D Y Chandrachud, asked the panel secretary to send a copy of the apex court order to the ICC chairman Shashank Manohar.

The judgment asked the committee to appoint an independent auditor to scrutinise the BCCI accounts and set financial limits for contracts. According to reports, BCCI is expecting close to USD 4.5 billion from sale of three IPL rights – TV, internet and mobile.

BCCI president Anurag Thakur and secretary Ajay Shirke have been ordered to file compliance reports before the Committee and the Supreme Court in two weeks.

Chief Justice Thakur, on October 7, made the court’s stand clear by ordering that the BCCI will not disburse Rs. 16.73 crore each to 12 state cricket associations. These associations were yet to get the balance payment of their share from nearly Rs. 2,500 crore the BCCI had received towards compensation on account of termination of Champion League T 20.

The appointment of auditors is significant as the multi-million dollar Indian Premier League (IPL) media rights are to be awarded for the next 10 years, starting 2018. Sony Pictures Networks holds the current IPL media rights till 2017, which it won with a whopping USD 1.6 billion bid.

Star India, Twitter, Facebook, Sony Pictures and Reliance Jio are now the major names in fray for the media rights.

Here are the top developments of the BCCI-Lodha panel case: On July 14, 2016, a two-judge Supreme Court bench, that included current Chief Justice of India TS Thakur, empowered the Justice RM Lodha-led panel to implement a series of reforms to bring in more transparency in BCCI’s style of governance. The committee suggested major reforms that included age caps, tenure restrictions, one-man-one-post, one state-one-vote, among others. The reforms were binding and would apply to the Board as well as its state units.

Lodha panel set BCCI two deadlines – September 30 to make constitutional changes (adopt the Memorandum of Association and Rules) and December 15 for the Board to form a nine-member Apex committee that will replace the powerful working committee

BCCI appointed former Supreme Court judge Justice Markandey Katju to review the Lodha panel recommendations. Katju called the Lodha panel “unconstitutional and illegal.” The BCCI promptly filed a review petition in the Supreme Court in July.

In August, BCCI secretary met the Lodha committee saying the AGM will conduct “routine” business. On the contrary, the Board advertised inviting applications for the post of selectors. Its agenda also included formation of a new working committee and even an ombudsman – all in defiance of Lodha panel orders.

Saying the BCCI conducted more than just “routine” matters, the Lodha panel filed a status report to the Supreme Court on September 28, complaining of non-compliance of its orders. The panel wanted BCCI’s top brass to be “superseded”.

BCCI, on October 1, cherry-picked a few Lodha panel recommendations but made no decision on the important proposals like one-state-one-unit and age and tenure caps for officials. BCCI also decided to disburse large sums of money (approximately Rs 400 crore) earned from TV rights to state units as infrastructure grants.

Lodha panel told BCCI’s bankers – Bank of Maharashtra and Yes Bank – to stop disbursing grants to state units without its approval. BCCI president Anurag Thakur told media that freezing of accounts will force BCCI to cancel the India vs New Zealand Test series. Justice Lodha clarified on October 4 that BCCI was misinterpreting its order to the banks. The panel never stopped any money for staging matches.

The Supreme Court, on 6 October, gave an ultimatum to the BCCI to ‘unconditionally’ accept the Lodha reforms or it will pass an order. BCCI refuses to give any such undertaking asking for time till 17 October. The top court gave the BCCI time till December 3 to implement reforms recommended by the Lodha panel.

The court had made it clear that continued defiance by state associations would witness their shares invested in fixed deposit accounts until they change their minds. The court had barred further disbursal of amounts, courtesy a resolution passed by in the Annual General Meeting held on November 9, 2015 or “any subsequent resolution” by the BCCI or its Working Committee, until the state associations submit their written undertakings to unconditionally comply with the Lodha reforms.

October 21, 2016
18 prospective bidders for IPL Media Rights

MUMBAI: The Indian Premier League Media Right ITT has received a massive response from the leading media and technology companies. The ITT document was available for purchase from September 19 to October 18, 2016. The Media Rights bid submission process will happen on October 25, 2016.

BCCI President, Lt. Anurag Thakur said: “With the global trends of showcasing content on multiple platforms becoming increasingly important – TV, Internet and Mobile rights are up for grabs together this time. To have as many as 18 prospective bidders in the fray reinstates the faith of market forces in Indian Premier League.”

BCCI honorary secretary Ajay Shirke said: “This is a significant step for the Board, and we are excited to have 18 prospective bidders for IPL Media Rights. Our intention is to ensure the most comprehensive coverage of the IPL across the globe.”

The complete list of entities that have purchased the ITT is as under:

Rights on offer – Different packages for Television & Digital

1. Indian Sub-continent Television Rights: 2018 – 2027 (10 IPL SEASONS)

2. Indian Sub-continent Digital Rights: 2018 – 2022 (5 IPL SEASONS)

3. Rest of the world (ROW) Media Rights: 2018 – 2022 (5 IPL SEASONS)

October 18, 2016
18 prospective bidders for IPL Media Rights

MUMBAI: The Indian Premier League Media Right ITT has received a massive response from the leading media and technology companies. The ITT document was available for purchase from September 19 to October 18, 2016. The Media Rights bid submission process will happen on October 25, 2016.

BCCI President, Lt. Anurag Thakur said: “With the global trends of showcasing content on multiple platforms becoming increasingly important – TV, Internet and Mobile rights are up for grabs together this time. To have as many as 18 prospective bidders in the fray reinstates the faith of market forces in Indian Premier League.”

BCCI honorary secretary Ajay Shirke said: “This is a significant step for the Board, and we are excited to have 18 prospective bidders for IPL Media Rights. Our intention is to ensure the most comprehensive coverage of the IPL across the globe.”

The complete list of entities that have purchased the ITT is as under:

Rights on offer – Different packages for Television & Digital

1. Indian Sub-continent Television Rights: 2018 – 2027 (10 IPL SEASONS)

2. Indian Sub-continent Digital Rights: 2018 – 2022 (5 IPL SEASONS)

3. Rest of the world (ROW) Media Rights: 2018 – 2022 (5 IPL SEASONS)

October 18, 2016
BCCI reports lower gross media rights income in 2013-14

MUMBAI: The annual report of the Board of Control for Cricket in India (BCCI) for the financial year 2013 – 14 shows a decline in gross media rights income as it dipped from Rs 774.24 crore to Rs 419.38 crore. The honourary treasurer of the board Anirudh Chaudhry blamed lack of international action in India for the dip in media rights income. During the year of consideration, the annual gross receipts from international tours was Rs 193.52 crore as against the Rs 216.02 crore in the previous year.

BCCI’s million dollar baby Indian Premier League (IPL) did not disappoint the treasurer. Gross receipts from IPL 2013 were Rs 1194 crore as against Rs 892 crore of previous year.

The treasurer said, “This is because the receipts from IPL media rights income have gone up from Rs 556 crore to Rs 844 crore and the franchisee consideration has gone up marginally from Rs 460 crore to Rs 502 crore.”

The rights income from Champions League has also gone up, as a substantial hike from Rs 278.88 crore to Rs 327.50 crore was registered.

Receipt from ICC share of distribution remained at Rs 32.26 crore. There is a reasonable increase in interest income from Rs 85 crore last year to Rs 120 crore for the year of consideration. “This is mainly because of better treasury operations in getting better-negotiated interest rates for the short term deposits and efficiency of operations,” said Chaudhry.

In the year under consideration, the expenses on cricketing operations went down marginally from Rs 551.17 crore to Rs 516.83 crore. The provision for gross revenue share payable to the players has gone down from Rs 48.57 crore to Rs 11.02 crore. “This is because of the lesser media rights income. From 2013-14, the Board decided that all the common expenses, which are not allocable to any specific tournament would be apportioned on the basis of revenue generated by IPL, CLT20 and BCCI’s international tours. This will reflect more accurately the income generated from these activities of Board,” said Chaudhry.

In the year under consideration, the surplus of income over expenditure was Rs 526 crore as against Rs 319 crore in 2012-13, before any appropriation. In the current financial year 2014-15 the budgeted surplus is estimated at Rs 391 crore.

During the year four finance committee meetings were held. The following decisions were taken during the year:

· The Board awarded the Team Sponsorship contract for the period from 1 January 2014 till 31 March 2017 to Star India.

· Star India was awarded the title sponsorship for the limited period from October 2013 to December 2013 in which two series i.e., India versus Australia and India versus West Indies were played.

· The back office of the honorary treasurer was set up in Chennai from 1 April, 2014 and the coordinating office of honorary treasurer was established in New Delhi.

· The allowances and fees payable to support staff accompanying the senior team, A team, under 19 team, junior team and women’s team were revised.

· Under the scheme of One Time Benefit to former players, an amount aggregating to Rs 1.55 crore was paid during the year under consideration.

· Under the infrastructure subsidy scheme, the member units have claimed Rs 764.03 crore till 31 March, 2014, including subsidy for ground equipment.

· During the year, Board invoked the Bank Guarantee given by Sahara Adventure Sports (Pune Franchisee) to recover the balance franchisee consideration of Rs 133 crore.

· During the year, as per the order of Supreme Court of India, the three bankers of Nimbus, who had provided the Bank Guarantees of Rs 1600 crore together and who had not honored the invocation of the Bank Guarantees by the Board and had challenged the invocation, paid Rs 400 crore to the Board against an undertaking from the Board that in case the decision goes against BCCI the said amount will be returned along with the applicable fixed deposit interest.

· During the year the team won the ICC Champions Trophy and the Board awarded prize money of Rs 1 crore to every playing member of the team and Rs 30 lakh to every member of support staff.

· In the last Annual General Meeting, a new Finance Committee was appointed under the chairmanship of Dr. Ganga Raju. The Finance Committee and the Treasurer’s office benefited from the rich experience of Dr. Raju.

March 10, 2015