US spending on Champions League rights is anticipated to reach $2 billion
The next significant test for soccer's worth in America is approaching.
The Union of European Football Associations will start accepting bids this week for the US TV rights to its Champions League matches, and prices are predicted to reach $2 billion for a six-year deal, more than double what UEFA now receives annually under existing deals.
The organization is anticipated to publish a document on its website on Monday seeking businesses to submit offers for the yearly competition, which involves the best soccer teams in Europe. The bid deadline is August 15th.
According to the people, who requested anonymity because the conversations are private, UEFA has recently had preliminary discussions with Comcast Corp.'s NBC, Walt Disney Co.'s ESPN, Paramount Global's CBS, Amazon.com Inc., Apple Inc., Fox Corp., Warner Bros. Discovery Inc., Univision, and DAZN.
renowned teams
Currently, the US rights to the Champions League are held by Paramount and Univision. Together, the two earn around $145 million a year, with Paramount making more. The audience has been large. 2.8 million people watched the Real Madrid vs. Liverpool UEFA Champions League Final on CBS in May, which featured two of the most well-liked teams. The number of viewers for a final on English-language television in the US peaked with that one. Additionally, it had the biggest streaming audience ever.
In order to make its rights more appealing to media businesses, UEFA has implemented a number of changes. Starting in 2024, it will increase the number of teams from 32 to 36. From 2024 to 2030, media businesses will be able to bid on rights for the first time for a maximum of six years, providing broadcasters additional time to improve their marketing and production capacities. Additionally, it has added games in January, which may benefit streaming providers that would otherwise lose customers if the league took a break during that month. Less match overlap and more games for popular teams are benefits of the new structure. Additionally, the league is waiving a requirement that a minimum amount of matches appear on traditional TV in response to the growing popularity of streaming.
Soccer's young, tech-savvy worldwide fan base has made it the go-to sports franchise of the streaming era. Several media outlets, including Paramount, ESPN, and NBC, have boosted their internet content through the sport. Additionally, it has drawn the attention of tech behemoths that are new to sports broadcasting. While Amazon.com Inc. got the exclusive rights to broadcast the Champions League in the UK for the first time, Apple Inc. earned the long-term streaming rights to Major League Soccer last month.
best period to sell
Due to the rising costs, UEFA believes that this is the perfect time to sell soccer rights in America. In November, NBC, a division of Comcast Corp., agreed to renew the US television rights to the English Premier League for more than $2.5 billion over six years. The last deal was practically tripled by that amount. According to Sports Business Journal, Apple is paying a minimum guarantee of $250 million annually for Major League Soccer rights, more than double the price of the previous contract. Additionally, the United States will host the 2026 World Cup, which can increase interest in soccer among American consumers.
Owner of the Miami Dolphins Stephen M. Ross co-founded Relevent Sports Group, which is managing the bidding process. Relevent beat out other agencies including Octagon and Endeavor's IMG in February for the privilege of representing UEFA in US media sales by offering to sell the rights for at least $250 million a year. In the US, Relevent has experience negotiating soccer contracts. It paid ESPN $1.4 billion over eight years for the rights to broadcast La Liga, the main soccer league in Spain, last year.
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