More AFL games expected behind paywall in next broadcast dealBy Jake Niall and Zoe Samios
The Age
August 11, 2022More AFL games are likely to end up behind a paywall in the next broadcast deal, regardless of which party wins the bid for the AFL rights.
Well-placed sources, who requested anonymity to speak freely, said there were likely to be more games overall that are shown on a pay/streaming service in the broadcast deal from 2025, whether the rights remain with Foxtel and Seven or if they are handed to the one-company bids of Paramount/Ten or even the less probable Nine/Stan bid.
Foxtel, as reported by The Age and Sydney Morning Herald, has already pushed for no free to air games on Saturday in the next rights package, seeking to have an exclusive “Super Saturday” on Fox Footy that would be similar to the NRL broadcast arrangement.
The push for more games behind a paywall – in whatever proportion – is being shaped by the reality that Foxtel will need more exclusive content in return for additional millions the pay service (which includes Kayo) would be contributing in the next deal. Foxtel is already contributing the majority of the $946 million over 2023 and 2024 that the AFL receives in broadcast fees.
The same scenario would be presented to all broadcast bidders, including Paramount/Ten and Nine/Stan.
Sources familiar with discussions said that the AFL is being asked to consider some home team games behind a paywall in Western Australia and South Australia – there are none in the current deal – and potentially some in the developing markets of NSW and Queensland.
To date, the AFL has kept those markets on free to air, with Foxtel only given simulcast rights. It has been a sore point for the pay provider, since it wants more subscriptions in those markets. Anti-siphoning laws prevent Foxtel from having exclusive rights to AFL matches, unless a free to air broadcaster does not want those particular games.
In effect, this means Foxtel would have to strike a deal with Seven. There has been tension in the relationship between Foxtel and Seven over exclusivity in certain markets and other differences.
Reports that Paramount had lowballed the AFL and offered less than even the current deal are not understood to be accurate, according to sources. But Paramount co-boss Beverley McGarvey told this masthead a reported $600 million figure was not correct.
In pitching as a one-company bid, Paramount offers the AFL fixturing flexibility, such as the ability to change a particular game from pay to free-to-air, or vice-versa, at short notice. This is harder to do when there are two separate rights holders.
But Foxtel’s major incumbency advantage is that it has a 24-hour channel, Fox Footy, which has become an entrenched part of the footy landscape with significant advantages to the AFL in ancillary programming such as broadcasts of various AFL events.
Seven insiders have pointed out that the network’s ratings are consistently higher than Ten’s, but Ten sources have argued that Ten managed strong ratings when they held the rights in the 2000s and that the network can provide more programs around the broadcast, such as the popular Before the Game.
Contrary to previous reporting, Nine’s offer for the AFL broadcast rights was not confined to Thursday nights and included games on streaming service Stan.
But industry sources regard the race as likely to narrow to either the incumbents of Seven (Seven West Media) and Foxtel or the one-party bid of Paramount/Ten.
A further factor for the broadcast bidding is the potential entrance of a 19th team, in the form of Tasmania, should that be approved. Tasmania would provide a further 11 games for the broadcasters and the bidders have been asked to cover the possibility of a 19th team in their pitches.
The AFL declined to comment on any broadcast discussions.
https://www.theage.com.au/sport/afl/more-afl-games-expected-behind-paywall-in-next-broadcast-deal-20220810-p5b8ul.html
