English Premier League deal makes Optus a broadcasting player says CEO Allen Lew
Media player: Allen Lew
Optus CEO Allen Lew has not ruled out on-selling part of the English Premier League football rights to Fox Sports, but said the move was central to the telco’s transformation to becoming a content platform.
Optus swooped on the exclusive broadcast, broadband and mobile EPL rights, wrong-footing broadcast incumbent Fox Sports in securing the three year deal believed to be valued in excess of $100m, with reports suggesting as much as $45m per season.
Lew told Mumbrella the move into broadcasting and securing exclusive rights for a major global sport was a first for an Australian telco.
RIP Foxtel
My take….
Optus could do a number of things now….
1. Start their own Optus EPL channel from scratch and maybe it back as an ‘access seeker’ to Foxtel as well as have it as a channel on Fetch TV, Foxtel who would then have subscribers ‘add it on’ to their package, that would keep the masses relatively happy and ensure broadcast quality production, TX and keep the existing quality of signal.
2. Go completely online, probably using NBN Multicast technology to get a HD or even 4K signal as a point of differentiation to their own broadband subs and offer the channel as a PPV or subscription service to other punters.
3. A hybrid of both. They have the ability to make money from being a Foxtel access seeker and on Fetch but also a big point of differentiation for their own broadband service and a standalone product for people who haven’t subscribed the Foxtel but would happy pay for a single EPL service. Hybrid would seem to be the way to maximise the reach
Either way, they now need to build a whole production environment, workflow and studio / guests / experts to use the rights a la BT Sport in UK…..Plus, now remember all the pubs and clubs that pay through the nose for ‘Foxtel Business’ to give them the rights to show all the games late at night and how much money that draws in. That business too is all now all looking different indeed.
Question is, will they (Singtel) risk a slam down by using at as their own personal subscriber battering ram or will they pass a nod to the hundreds of thousands of subs and thousands of clubs/pubs who get the EPL through foxtel. I think they only need to look towards social media today as the potential answer to that.
Has anyone thought to ask Allen Lew if he has ever watched a Premier League match?