Tag: Jagmohan Dalmia

  • BCCI invites 4-year India cricket TV rights bids

    MUMBAI / NEW DELHI: Bidding is officially open for cricket’s “BIG ONE”. The Board of Cricket Control in India (BCCI) today invited tenders for the live television and radio broadcast rights for international matches to be played in India for the next four years.

    This is an important point of note because the advertisement that appeared in today’s papers inviting bids indicates that the bidding will be for rights for all international matches that will be played from September 2004 to 30 August 2007, i.e. for three years. Speaking to indiantelevision.com over phone from Kolkata, BCCI chief Jagmohan Dalmia cleared the air on the matter saying this was only a bidding invitation and that when the tender document are issued, it would be for four years’ rights. This validates the exclusive report filed yesterday by indiantelevision.com regarding the period for which the rights would be valid.

    To see ad in full click on image “When the tender documents are given out, some changes would be made. The period of the agreement would be for four years, for example,” Dalmiya said.The BCCI has fixed 2 pm on 14 August as the deadline to submit sealed bids at its office in South Mumbai. The bid document is available for Rs 50,000 and is non-refundable.

    The BCCI’s five-year agreement with Prasar Bharati for telecast rights of international and domestic matches conducted by the Board in India ends this September and was worth Rs 2.3 billion.

    The Board has added a rider at the end of its notice which says, “the BCCI reserves the right in its discretion to cancel or amend the entire bidding process at any stage and to reject any or all bids without assigning any reason.”

    What has left some interested parties most perplexed however, is a rider that has been put in the tender invitation which says: “The bidding will be restricted to broadcasters. Only those entities having their own IN-HOUSE PRODUCTION (emphasis ours), telecasting units and channel network and have successfully telecast live and delayed international cricket events for a period of at least two years (not as a licencee) will be entitled to submit documents.”

    Going strictly by this, there are effectively only three entities that fall within the eligibility criteria — national broadcaster Doordarshan, ESPN Star Sports and Ten Sports.

    Among those disqualified as a fallout of this would be Sony Entertainment TV India (no in-house production), Harish Thawani’s Nimbus (being a licencee and not a broadcaster), Zee Telefilms and Sahara India (no successful sports telecast within the last two years).

    Asked to clarify this point, Dalmiya said various pre-conditions in the tender notice need not necessarily disqualify players like SET India. “Sony has telecast cricket and can also bid, I think,” he said to a direct query pertaining to this.

    Quizzed further as to whether parties like Sahara could also pitch in with a bid, Dalmiya cautiously said, “I am not sure whether Sahara can bid, but others like Doordarshan, ESPN-Star Sports and Ten Sports can certainly bid.” It is a pertinent point that Sahara is the sponsor for the Indian cricket team.

    Explaining the terms and conditions for bidding,Dalmiya made it clear that any media company that has sports channel(s) and decent experience in production of cricket-related programming could pitch in for the four-year telecast rights. “Whether production is outsourced or not should not be a problem for a bidder, I think,” the BCCI chief added.

    When contacted today evening, Prasar Bharati CEO KS Sarma initially played with a straight bat and wanted to know whether the telecast rights also include the domestic cricket leagues like Ranji and Duleep Trophies also.

    But then like Sachin Tendulkar, changing gears to up the tempo, Sarma said, “Offers from third parties (on collaborating on the telecast rights) notwithstanding, we would prefer to go it alone.”

    ESS and Nimbus have made offers to the Indian pubcaster Prasar Bharati, which manages DD and All India Radio, saying they would like to (independently) collaborate with Prasar Bharati on the telecast rights that would be beneficial for both the parties concerned. Prasar Bharati is yet to take final call on the offers, though it is expected that in a board meeting, slated for 10 August, this issue may be
    discussed.

    Sarma also allayed fears that DD would not be able tocough up the type of money that is generally requiredto acquire sports properties. “Who says we would notbe able to bid? After all the bid amount is to be paid in instalments and we already have a budget of Rs 300 million this year for such a purpose.”

    DD, which had bagged the BCCI cricket telecast rights five years back, is said to have paid between Rs 2.3 billion and Rs 2.5 billion. This time round, BCCI expects the bid amount to be more than double that.

    ESPN India MD RC Venkateish acknowledged the BCCI notice, but said, “No comments at this stage.”

    How much cricket are all these players actually fighting over is worth examining as well. According to information collated from the broadcast and sports management industries, four years rights would comprise 12 Test matches and 48 one-dayers. This works out to 60 days of Tests with four one-dayers per Test, on an average.

    This season the BCCI has lined up a four-Test series against Australia in October-November to be followed by the two-Test series against South Africa.

    A full series of three Tests and five one-day internationals against Pakistan have been pencilled in for February-March, 2004 after the team’s return from the scheduled December-January tour of Bangladesh.

    Predictably, there is a lot of cricket being squeezed into this four-year deal. And equally predictably (after all it is the Indian cricket board that is involved), clarity is what is lacking. Otherwise why would board supremo Dalmiya have to offer so many clarifications for the advertisement that went out today.

    Of course, the rider the board added at the end of its notice gives Dalmiya the legal leeway to offer these clarifications. It reads thus: “BCCI reserves the right in its discretion to cancel or amend the entire bidding process at any stage and to reject any or all bids without assigning any reason.”

    The point made in yesterday’s report needs reiterating here. When the India rights are finally given away, expect to see more of what may appear contradictory on the surface, lots of googlies and more than a few surprise twists and turns.

  • Agreement on cricket row in sight , formal announcement expected Thursday

     NEW DELHI/MUMBAI: It is all about money, honey! Forget patriotism and all that blah blah. And since it has all boiled down to hard economics, a solution to the whole cricket controversy was arrived at in principle today. Though the deal is not signed and delivered as yet, it should be by Thursday, sources close to the negotiations said.

    According to cricketing sources, the five top Indian players – Sachin Tendulkar, Saurav Ganguly, Rahul Dravid, Anil Kumble and Virendra Sehwag – together have reportedly sought a compensation of about Rs 50 million from the Board of Cricket Control in India (BCCI) in lieu of signing on the dotted line. And while the finer points are still being discussed, the board has agreed to the terms.

    The BCCI and Jagmohan Dalmia, the strongman of Indian cricket, are understood to have worked out a three-point formula for a face-saving solution to the vexed issue that has hogged the headlines these past few weeks.

    The three-point formula includes a proposal that the cricketers will get a percentage of the money that the International Cricket Council (ICC) will give to BCCI, and that in future the players will be kept apprised of all such sponsorship deals being inked by the BCCI, the ICC and other stakeholders of the game.

    And who are the other stakeholders? Some of the global partners who have paid through their nose to get sponsorship rights to the ICC tourneys. These parties have contested the ICC’s reported stand that the global sponsors are ready to re-negotiate the terms and conditions of the sponsorship deals.

    A senior executive of one of the global sponsors of ICC cricket today told indiantelevision: “We have read media reports from London where ICC has been quoted as saying that the global partners may re-negotiate the contracts. But as of today there has been no official intimation on this front.”

    Echoing a similar sentiment a senior executive for Pepsi Foods India Pvt. Ltd. said that there has been “no indication from the ICC on renegotiations of the contract.” The executive further added that if any term of the contract is changed (as the binding on personal endorsement by players is only limited to the up and coming Champions Trophy in Sri Lanka, for example) or is being sought to be changed, then the whole agreement has to be re-negotiated.

    The global sponsors of the upcoming Champions Trophy and Next March’s World Cup in South Africa, which include the likes of Pepsi, LG, Hero Honda, Toyota, South African Airways, United Breweries of South Africa, are reported to have coughed up close to Rs 2,000 million for a bunch of sponsorship rights which they are not ready to give up easily.

    But ICC, though apparently facing an uphill task, has kept up its tough stand, including the fact that ICC chief Malcolm Speed when in Mumbai last week, was quoted by Reuters as saying the personal endorsement ban for a month before and after an ICC tournament will stay for the World Cup too.

    Now that the stalemate between BCCI, one of the richest sports bodies in the world, and the top Indian cricketers has been breached, it remains to be seen whether LG will finally reach a deal with Sony Entertainment Television, which has the C&S telecast rights to the tournament.

    Ganesh Mahalingam, marketing head of LG India, earlier today told indiantelevision.com: “I am not going to freeze any deal with Sony Entertainment TV (scheduled to air the ICC cricket matches on SET Max) unless and until the BCII announces the full and final team for the Champions Trophy.”

    LG India had earlier rejected an offer from SET India for getting a certain amount of airtime for the matches of Champions Trophy and the World Cup for Rs 600 million. Reason: “The rates are preposterous and unrealistic,” according to Mahalingam. Since then, SET is believed to have made another offer to LG India on which a decision has not been taken as yet. Now that a full strength squadis almost certain to be headed for the Emerald Isles next month, Sony will certainly have a much stronger bargaining position on the terms it has set.

    The other two main India sponsors for the ICC cricket – Pepsi and Hero Honda – have already signed up, industry sources say.