Will the entry of global media tech companies Amazon, Facebook Inc and Twitter change the way the world views the Indian Premier League?

Analysts and media watchers say this could usher in new consumers in sports entertainment.

Last year, the Vivo IPL had a cumulative viewership of 347 million, the highest for any sporting event on television in India. IPL reportedly had 140 million videos on Facebook, while Twitter saw 10.6 million tweets. For media-tech companies, this viewership has a potential to expand as more people hop onto the digital bandwagon.

The bidding by the three big companies for the media rights comes at a time when almost all telecom operators are also going strong on increasing their 4G penetrations which promises faster speed at lower costs.

Analysts says that in its tenth year, IPL may garner more viewers and resultant revenues through multiple platforms.

Amazon is looking to bring in its subscription-based platform Amazon Prime Video later this year. It has already started entering into licensing and content partnership with various movie producers including Karan Johar and S S Rajamouli.

On the other hand, Facebook has video features such as Facebook Live and 360 video, while Twitter has a streaming platform Periscope.

Frank D’Souza, Lead Partner, Media and Entertainment, PwC, notes that, “All players know that they have to get into the digital ecosystem. Consumption of content in digital space is growing. However, monetisation will be a long rope game as getting consumers to pay and also advertisers to come on board will be a challenge”.

Digital growth He also noted that even BCCI has been taking cognizance of the growth of the digital platform. “Earlier, BCCI used to bundle both digital and television rights. However, two years ago, BCCI starting breaking up the rights into the digital and linear”.

Sumeet Abrol, Director, Lead Advisory, Grant Thornton, said: “Sports is one of the most engaging platforms. For companies such Facebook and Twitter, bidding for the right of IPL is an powerful proposition as they can engage with several hundred users at one go. Gradually, it may increase traffic and result in indirectly influencing advertisers”.

So, BCCI too, may see a spike in revenue by bifurcating the digital and the broadcast rights.

Anurag Thakur, President, BCCI, said in a statement, “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”.

Related Topics
comment COMMENT NOW