Tag: facebook (page 1 of 1)

Facebook spends money on buying global sports licenses (Part 2)

Failure before Star India certainly does not detract from this ambition of Facebook as it continues to spend money to buy copyright of other sports tournaments in the world.

With a cash pile of about US $6 billion, Facebook certainly has more resources than traditional television stations alone and this is no small advantage whenever it wants to compete for copyright in a certain market to entice. viewers, expand your inherently powerful social network empire.

Not only the Premier League, many of the world’s major sports leagues are part of Facebook’s expansion plan.

Facebook started streaming live sports events about the past two years, starting from a charity match between Manchester United and Everton in early August 2016. Since that time, the company has poured money to buy copyrighted tournaments from football to basketball, baseball and other sports.

In 2017, Facebook successfully acquired the rights to 20 matches in the framework of the leading American baseball league Major League Baseball (MLB). Matches are free to all Facebook users within the United States. The value of the deal was not disclosed by the two sides.

By 2018, Facebook continues to have exclusive rights to 25 games of MLB 2018 at a price estimated by experts at $ 30-35 million.

Commenting on the deal, Lee Berke, a media expert in the US, said that “similarly when sports content on traditional television is shifting to cable television, we are seeing a similar trend. .. This is the next big leap.”

Facebook has also cooperated with Fox to get the rights to broadcast the UEFA Champion League (C1 Cup) in the United States. The carrier also negotiated itself with UEFA to have the rights to broadcast 32 matches of this tournament in Latin American countries for 3 consecutive seasons from 2018 to 2021.

The social networking giant also participated in a 10-match copyright auction of the 2017 American National Football League, but it lost to Amazon when the online retail giant launched it. $ 10 million, five times the price that Twitter, another major social network, bought in 2016.

Obviously, £200 million for the Premier League copyright in 3 years is just a move in the game Facebook’s desire.

Facebook spends money on buying global sports licenses (Part 1)

Willing to spend billions of dollars to buy the rights to broadcast live sports tournaments on its platform, Facebook may be looking to encroach on the television.

The Facebook deal costs £ 200 million, or about $ 264 million, to acquire the broadcast rights for the Premier League for three consecutive seasons from 2019-2020 in four Southeast Asian countries including Vietnam, Thailand, Cambodia and Laos. made the regional television industry feel the heat of competition from the social networking giant.

This is a new story in the region, but it is not the first time Facebook has paid heavily to buy the rights to broadcast live sports tournaments, competing directly with traditional broadcasters.

Willing to spend 600 million USD for Indian cricket

Unlike the rest of the world, in India, cricket is the king’s sport and of course the Indian cricket Premier League (IPL) is the most expensive sport in this market.

IPL was born in 2008 and currently has more than 1 billion global spectators, most of whom are from India, the country where cricket is the most popular sport. The tournament has the financial presence of the richest people in India as well as many of the country’s movie stars.’

With a hotly developed social networking market like India, Facebook needs more “weapons” to compete as well as more quality content to generate revenue, and copyright of tournaments like IPL is what Facebook needs.

The proof is that the company is willing to spend $600 million to participate in auction auctions of broadcast rights for 5 consecutive years from 2018 of this attractive tournament.

IPL will help Facebook attract more users in India, help it increase users’ Facebook usage in this market and boost Facebook Watch, the video streaming segment that Facebook aspires to compete with YouTube.

The revenue that Facebook targets is the revenue that attracts advertisers from traditional television platforms if it successfully acquires IPL’s copyright.

However, Facebook’s intentions went bankrupt when Twenty-First Century Fox’s Star India channel won the copyright for a record price of $2.55 billion for both traditional and live broadcast copyrights.