Optus, the new player in Australia's sports media rights battle

By Marc C-Scott / Roar Guru

In surprising news, Optus has secured the media rights to the English Premier League (EPL) for three seasons commencing from the 2016-17 season.

Optus already has the rights for the EPL in its hometown in Singapore. The new deal includes the broadcast and digital rights (broadband and mobile) for all 380 matches broadcast in Australia.

The Optus bid is rumoured to be more than double the A$20-25 million paid by Fox Sports currently. This is a significant investment by Optus and gives a clear indication it wishes to be part of media distribution in Australia, particularly sports.

Optus CEO Allen Lew said:

“We are dedicated to delivering the best domestic and international entertainment for our customers. With 930 million followers worldwide, the Premier League is one of the most sought after sports properties for content providers.”

This is a significant defeat for Fox Sports, which has seen the EPL as a flagship for its programming lineup.
This will see an end to Foxtel’s almost 20 year association with the league, which began in 1997. Foxtel is yet to release a statement, although it quickly removed the story discussing the deal from its website after it was posted at foxsports.com.au.

Where will Optus broadcast in Australia?

Much of the discussion about the Optus EPL deal has been on who will broadcast the games, given Optus is not a traditional broadcaster.

There are a few options Optus could take to utilise the EPL media rights. A deal to on-sell them to Foxtel is extremely unlikely. There are other options that Optus could establish, which would see them in a position to compete with Foxtel, in particular FoxSports. These developments could see a shake up for future sports media rights in Australia and also the way in which sports is distributed.

Optus also has the digital rights, an increasingly important part of all sports media rights deals. It could be that the EPL is offered by Optus as an additional subscription channel on FetchTV, its streaming service that competes with Telstra TV and Foxtel streaming services. FetchTV can now be bought outright at many electronics stores, and could see an increase in uptake if Optus were to open the subscription access to all FecthTV customers.

In addition to the streaming of EPL games, Optus could utilise its strength as a telecommunications company and supply a “Live Pass” version of the games. This is comparable to the AFL and NRL Live pass streaming services, where the rights are currently held by Telstra.

Optus may also enable SBS to broadcast some of the games on the free-to-air station, similar to the arrangement between Foxtel and SBS.

Future of sports rights in Australia

“Optus has never been in sports rights and we’re now in the game,” said CEO Allen Lew, not after this latest EPL deal, but one that appears to have passed many without notice.

Last month Cricket Australia announced a three-year deal with Optus as its “Official Mobile Media Partner”. This will not only see Optus customers get free access to Cricket Australia’s Live Pass, but also exclusive content for Optus customers, which includes historic matches.

The next move made by Optus could be associated with the NRL media rights. Both Foxtel and Telstra are yet to agree to a new NRL deal. Optus may secure a deal with the NRL that would see it acquire the rights that both Foxtel and Telstra currently have. This would further entice new subscribers to its Internet Service Provider (ISP) services.

The battle of the ISP and sport

It’s clear that Optus’ intention from these new media deals is to entice new customers to come across to its mobile and broadband services. Part of this may be to counter the recent move by Foxtel to become an ISP with packages that bundle in its pay television services.

With the sports deals Optus has secured it is not only taking on Foxtel, but also Telstra. These deals, particularly the EPL deal, add competition to a market dominated by the latter two interlinked media giants. It could potentially add choice for Australian consumers, or alternatively fragment the sports media landscape in Australia, frustrating consumers further than they already are.

Marc C-Scott, Lecturer in Screen Media, Victoria University

Marc C-Scott, Victoria University

This article was originally published on The Conversation. Read the original article.

The Crowd Says:

2015-11-04T23:18:22+00:00

Kaks

Roar Guru


Sorry Fuss I should have been more specific, I was talking about FetchTV and not BeIN sports

2015-11-04T21:55:50+00:00

Bruce

Guest


Is anyone in a position to count how many words MF and Rick Dicknick (sic) have written on this subject. I know it's a big ask because the word count would be PHD length. The question I ask is why do they spend so much time and 'effort' on the football section? Why are they so negative? What is the motivation for such time poor use of their day? Any answers would be greatly accepted (except from the two named posters).

2015-11-04T15:45:14+00:00

Horto Magiko

Roar Rookie


"For example: I always refer to Vienna as Wien, even when not speaking or writing in German." That's utterly refined and cultured of you I dare say you dipper dapper old chap. I find I refer to frankston as frangaz.

2015-11-04T14:27:59+00:00

Doc Disnick

Roar Guru


"Damn it I fumbled." It happens to the best of us. :) "Well actually RBB is right, it is in fact malacca.. Unless of course one of the 3866 languages that mf speaks is Malay, then yes, it’s Melaka.." We are all right. That's the beauty of English. We can pick and choose what ever versions of words from other languages and they fit right in. For example: I always refer to Vienna as Wien, even when not speaking or writing in German. NFI why, I just do, along with many others. When I serve food to my friends I say, "bon appetit", yet know feck all other words in French. Finally, WTF am I still doing up this late...

2015-11-04T14:13:48+00:00

Horto Magiko

Roar Rookie


Damn it I fumbled. Lost opportunity. Well actually RBB is right, it is in fact malacca.. Unless of course one of the 3866 languages that mf speaks is Malay, then yes, it's Melaka.. Agreed, a magnificent place, but I just couldn't resist mfs hilarious subtext :)

2015-11-04T13:45:11+00:00

Doc Disnick

Roar Guru


"And it’s malaka not Melaka you malaka haha" You do realise Melaka is a very beautiful city in Malaysia right, which just happens to be in, wait for it...south-east Asia? Not that I want to put a dampener on that awesome Greek joke you managed to balls up...

2015-11-04T13:44:33+00:00

RBBAnonymous

Guest


In fact its Malacca to the Malaka.

2015-11-04T13:27:47+00:00

Horto Magiko

Roar Rookie


"What does that mean, he took you to “the china”?" Haha. Someone is getting a little flustered :) And it's malaka not Melaka you malaka haha

2015-11-04T13:23:34+00:00

Justin Thighm

Roar Guru


http://www.oztam.com.au/faqs.aspx Since the start of the 2010 ratings year, OzTAM ratings have included both ‘Live’ viewing and viewing of broadcast television content that is recorded and played back within seven days of the original broadcast time (OzTAM's Time Shift viewing service). OzTAM's "sample" is biased, because its owned by commercial TV stations, so they don't pick people who don't watch 7,9 or 10. Therefore SBS and ABC program ratings severely underestimated.

2015-11-04T13:20:51+00:00

Midfielder

Guest


Bondy I am not sure Telstra was signed about a year ago by FFA as our communication partner and our net as has been mentioned is nowhere near ready for mass usage. Also Fox have not been bad for Football... However the rumours are there and maybe its a bunch of folk feeding each other... My personal view is and I am writing an article about it media alliances are shifting and new broadcast methods are emerging ... Netflicks and Stan are streaming services so there must be some capacity in the system. Ask me for around the same money who I would want out of say a Fox / 10 media deal and a Optus / 9 media deal and my gut says go with Fox and 10...

2015-11-04T13:19:28+00:00

Doc Disnick

Roar Guru


@RBBA "Yes you are right Intuition tells you the A-league is bad quality and will continue to be so." At no stage in this conversation have I suggested the A-League is bad quality. "The same Intuition tells me never to go watch another AFL match in my life. I went once, thank goodness it was only a free ticket." That wouldn't be intuition then now would it. "Enjoy the AFL off season" I will, watching the EPL, which I equally love. :) @MF "There might be many like Rick – which might explain why Optus has gone hard after the Premier League." Well, reluctantly they're at least going to get one subscriber, and I really don't like Optus one bit. But I guess I have no choice if I want to watch the EPL.

2015-11-04T13:00:46+00:00

Mister Football

Roar Guru


There might be many like Rick - which might explain why Optus has gone hard after the Premier League.

2015-11-04T12:57:42+00:00

Mister Football

Roar Guru


He took you to "the china"? What does that mean, he took you to "the china"? Personally, I'm not a huge fan of Chinese food, I much prefer the flavours of south-east Asia. I'm also particularly fond of nyonya cuisine, and if you ever find yourself in the vicinity of Melaka, I would highly recommend it.

2015-11-04T12:51:01+00:00

Mister Football

Roar Guru


Horto I would hope that you understand that when I talk of Juventus, I'm talking about the Melbourne version. I might speak six languages fluently, and be a son of immigrants, but you do know that I was born in Australia right? And while it's true that I had to learn English as a second (or third) language, and from time to time, I struggle with the nuances of English grammar, I trust you will not hold any of this against me. It actually saddens me that you can't share my joyful memories of having watched a fair bit of soccer pre-NSL days. People might actually be surprised at just how big soccer was in the early 1970s in Melbourne. Did you know that one VSL game per week used to be shown live on TV back then? How far advanced are we when a large cohort of soccer fans can get excited about the prospect of disappearing into the relative anonymity of Fetch TV?

2015-11-04T12:43:07+00:00

Horto Magiko

Roar Rookie


But MF my dad took me to the china when I was a kid.. Therefore I am fully qualified to trash Chinese food. And Lucy zelic said Chinese food is bad, so it must be.

2015-11-04T12:42:33+00:00

Mister Football

Roar Guru


Punter In case you have forgotten, let me paint the picture for you again. We had AFC reps, most of whom represented countries who had bid themselves for the WC. We had Japan lobbying heavily to save some face and not be the first booted out of the bidding. We had the usual antipathy many Asian countries continued to have for Australia, some of whom were not that happy about Australia joining the AFC in the first place (Jesse Fink had commented on this having seen it first hand when he attended a conference, and I don't think I need to quote a former Singapore president to illustrate the point further). Put all of that together - why would any Australian honestly believe that the Asian reps were going to vote for Australia? This is what I found so incredible at the time, so yes, you might well describe me as manically writing, but then again, the absolute idiocy I was reading day-to-day (and one of the regular posters on this very board was in the middle of it all), honestly... Interestingly, one of the very first articles I wrote for the Roar talked specifically about lobbyists polluting an already corrupt process. Just saying....

2015-11-04T12:38:53+00:00

RBBAnonymous

Guest


@ Rick Disnick Yes you are right Intuition tells you the A-league is bad quality and will continue to be so. Look forward to the day your sons and daughters head to the A-league matches without you. The same Intuition tells me never to go watch another AFL match in my life. I went once, thank goodness it was only a free ticket. I would never have forgiven myself if I had to pay for that dross. Enjoy the AFL off season

2015-11-04T12:35:16+00:00

Mister Football

Roar Guru


ss I'll just say that's a reasonable estimate. Pointless trying to narrow it down because: 1. we don't know for sure the number and make up of teams; and 2. we know that big name marquees can give short term boosts. These variables can have a pretty significant effect on something which is coming off a relatively low base - so the rights could double, or they could end up somewhere between double and your estimate. Also, it's not out of the question Fox decides to start stemming the flow of the loss of product, so that might have a big impact as well. But if the ratings keep spiralling downwards, it will be difficult for anyone to justify a big investment. So too many variables to make a call.

2015-11-04T12:25:49+00:00

Horto Magiko

Roar Rookie


"I’m a soccer fan from way back. My dad took me to Juventus games in the early 70s," Hahaha. Oh god that old chestnut. You do realise that doesn't magically make you an actual football fan and/or justify your incessant negativity right? IMO it's more an indication that you haven't had any contact with the game in the last 40 years and that you come from a long line of theatre going euro snobs.

2015-11-04T12:23:13+00:00

Mister Football

Roar Guru


AR all very true. You are spot on in relation to every point. This deal is about the Premier League, and even then, questions abound about how it is going to pan out (it's still possible that Optus will only retain broadband/mobile devices and ditch part of the rights to FTA/STV). Some have jumped from there directly to the FFA writing its own cheque - but not sure why - because in fact there are other A-League fans who have genuine concerns about not being partnered with the Premier League, losing the various pre- and post- game shows and as a consequence, getting a lower viewership. I'm not actually making that case at all, but I am saying it could go either way (but even to say that is to be labelled as a soccer hater). The other interesting thing is that until very recently, there was a clamour to get the game on FTA, and now all of a sudden, having the game on Fetch TV is the saviour of the league. That's two very conflicting statements right there. I don't think people quite understand that Fetch TV would have a fraction of the viewership of FTA for many years to come.

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