Summary
Due to competition from other broadcasting companies such as BT, the rising cost of premier league TV rights could create a knock on effect for other sports. The emergence of BT as a serious challenger for premier league rights has created a 7.1% increase in the value, adding up to almost £3bn. A sport that will be heavily affected is Rugby. BT has won the rights to broadcast Premiership rugby in the UK- a big loss for Sky Sports. Under the new deal, Sky will pay £2.3bn to broadcast 116 live matches. BT will pay £736m for just 38 matches, however these are the bigger more attractive games.
My Opinion
There is clearly a problem arising. If I am a Sky Customer and I want to watch a premier league game that is being broadcast on a BT channel- do I need two subscriptions This new deal leaves the common consumer in a sticky situation because in these harsh economic times, it is hard to pay for two subscriptions. As a sky customer, I am slightly disgruntled by having to make these decisions when I think that Sky could have worked harder and pay more to secure the rights to broadcast all games. This could create a serious issue because for those not bothered to pay for two subscriptions, It is almost easier to watch it on-line illegally leading to fall in revenue.
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