Yes, yes! The Indian Premier League (IPL) just concluded so why are we here talking about it again? Because IPL media rights auction is ongoing! Started on Sunday, June 12 by the Board of Control for Cricket in India (BCCI), the auctions are going on for the next five-year cycle (2023-27) and this will decide which television channel we will be watching the IPL on and which OTT as well.
With as many as 74 games, and the scope to go beyond over five years, the IPL is only going to get bigger and bigger. Last year, Star India paid a record sum of Rs 16,347.5 crore and expectations are that the sum will go up by much, much more this year.
So, what's different this year that has caught our attention? Let's decode it all in today's What The FAQ.
So, how is it happening this time?
In this e-auction, there are four distinct packages:
- Package A: TV rights: Indian subcontinent
Base price: Rs 49 crore per game
- Package B: Digital rights: Indian subcontinent
Base price: Rs 33 crore per game
- Package C: 18 matches, non-exclusive digital rights
Base price: Rs 11 crore per game
- Package D: World rights for TV and digital
Base price Rs 3 crore
Package C is for those companies who would not like to go all-in but would like to start with a small share. While BCCI makes the most of it.
Separate bids will be made for separate packages. The total base price combined is set at Rs 32,890 crore.
What are the advantages of these packages?
The bidder who wins Package A gets a choice to offer 5% more than the highest bid for Package B. In the same way, the one who wins Package B can bid 5% more than the highest bids in Package C and D, all within the stipulated time, of course.
What is the bidding process itself?
Instead of closed bidding, all bidders will be making a separate bid for each category and decide when to bow out. Until the highest bid is flashed on the monitor, not even BCCI gets to see any bid thus, the names of no bidder will be revealed.
The e-auction portal Mjunction has been chosen to provide the platform.
Who are the bidders?
Seven companies submitted their technical bids. Disney-Star India, Viacom18 and Sony Pictures Networks India (SPNI), Zee Entertainment Enterprises Ltd (ZEEL) and a few others are the bidders.
How is it going so far and when is it likely to end?
Reports claim that television and digital media rights have been sold for ₹43,050 crore on Day One. It is still unclear as to when the entire process will come to an end.