Written by Rajnish Jha.
The record-breaking bidding for media rights that concluded on June 14 will fetch the Board of Control for Cricket in India (BCCI) Rs 48,390 crore. Disney Star retained the television rights for IPL, the world’s richest cricket league, for Rs 23,575 crore, while Viacom18 secured the digital rights for Rs 20,500 crore.
Viacom18, a broadcasting joint venture run by Reliance Industries, also secured non-exclusive international rights for Rs 3,257.5 crore, while Times Internet picked rights for international broadcast for some regions.
BCCI statement for sharing from media rights
By BCCI’s previous statement on revenue sharing from the broadcasting rights, franchises have a right to 40 percent of the revenues, with the rest money with the board.
In a 2017 interview, then treasurer Anirudh Chaudhry told the Indian Express that BCCI shares 50-50 of the broadcast revenue. “But they have to pay BCCI 20 percent of their revenues. 20 percent of 50 is 10 percent, so that’s how it becomes 60 to us and 40 to them. This is leaving all the taxes aside,” Chaudhry told the newspaper.
Bigdog of Cricket tournament
Numbers like this in a tournament means, each IPL team is likely to earn Rs 387.1 crore a year solely from the media rights, a 137.5 percent jump from Rs 163 crore a year. Further, the teams finishing among the top four in every year will get another 10 percent share of the media rights sales.
The earnings will increase for topline of IPL teams. For instance, Reliance Industries-owned Mumbai Indians, the highest valued franchise in the league, reported sales of Rs 317 crore in 2020-21.
For IPL teams, media rights are the bread and butter as they earn for 69-75 percent of revenue. Other sources of revenue include sponsorship deals and several tournament-linked incomes.
Popularity of ipl
IPL is one of the topmost tournament in the world it’s not a cakewalk to be at the topmost level in tournament like cricket because only few numbers of country are playing international cricket.
IPL is competing with tournament like Euro Cup, Many football clubs are also fan of ipl and players like Virat Kohli , Ms Dhoni. So it was obvious that sponsor are going to bid high.
(Rajnish is student of BAJMC first year from Maharishi University Of Information Technology Noida Campus.)