Chapter 160: The Battle for Television Rights 1
For nearly 10 years, Pro Broadcast TV has been the broadcast partner of La Liga, and they have a monopoly on most of La Liga broadcasts. Pen "Fun" Pavilion www.biquge.info
The reason why I say 'most' rather than 'all' is because the TV broadcast of La Liga is carried out in the mode of negotiation between each team and the broadcaster, and the big club must have the capital to talk about it, while the small club needs to 'package talk', and a single small club has no ability to talk about TV broadcasting.
This is also the reason why there is a huge disagreement in La Liga on the cost of television broadcasting.
Real Madrid and Barcelona have huge support, and naturally have the ability to negotiate with TV broadcasters directly with TV broadcast fees, in 2006, Real Madrid's TV rights for 7 seasons were sold for 1.1 billion euros, and Barcelona followed closely behind, and 7 seasons were also sold for 1.05 billion euros.
Other clubs are different.
For example, Atletico Madrid, the broadcast rights are negotiated once a year, and the negotiations with Pro Broadcast Satellite TV are not pleasant, Atletico Madrid is the third team in Spain, and the broadcast cost is 3 or 4 times different from Real Madrid and Barcelona.
Valencia's situation is similar to that of Atletico Madrid, and their results are not bad, but if you want to talk about TV rights, you must first have influence, and Valencia will definitely not be able to compare with Real Madrid and Barcelona, so the TV broadcast fees you get every year are basically on par with Atletico Madrid.
Atletico Madrid, Valencia is like this, other clubs are even more 'dismal', such as Sevilla's results are good, but they can't talk about the price at all, their annual TV broadcast income, even less than 20 million euros, the other 15 teams are worse than Sevilla, Villarreal is a La Liga powerhouse, occasionally can play well, and even hit the Europa League, but last season they got the third lowest TV revenue among the 20 teams in La Liga.
This is the reason why La Liga teams are unhappy with TV rights.
Other small clubs have been shouting 'equal wealth and poverty', they hope that La Liga will be like the Premier League, and collectively package and sell broadcast rights, but in fact, it is unrealistic to quickly implement 'equal wealth and poverty' in La Liga, that is, to package and sell TV rights, which is not only a matter of policy bills, but also related to the high composition of La Liga clubs.
Why does the Premier League currently have the upper hand in the competition?
Ordinary fans can only think of the FA, foreign investment and other reasons, but the biggest reason is that most of the clubs in the Premier League are joint-stock companies, so rich people can participate in shares as long as they want to invest, and most of the clubs in Spain are still club membership systems, Real Madrid, Barcelona are also memberships, and it is difficult for foreign investment funds to participate in Spanish clubs.
Atletico Madrid Club was acquired by Taiwan Investment Group with a large amount of money, but the club is still a membership system, but Taiwan Investment Group occupies most of the shares, and it is impossible for Atletico Madrid to go public like many clubs in the Premier League before the membership system is completely resolved, or in other words, before the solution is introduced to satisfy the majority of club members of the club.
The membership form of La Liga clubs is difficult to change, which makes the club differentiation in La Liga very serious.
In addition, Spain is a very special country, Spanish football is not a single department, and it is currently the State Councilor in charge of sports and the Spanish Football League in partnership against the Spanish Football Federation.
In the eyes of many people, this is simply incredible, a Spanish football federation can actually stand up to the Spanish government...... It's kind of funny, but it's just the way it is.
With so many confrontations at the cross, it's strange that there is only one voice in Spanish football.
For now, clubs are left to figure out their own way.
Pro Broadcasting Satellite TV signed Real Madrid and Barcelona, the two La Liga giants, which is almost equivalent to a monopoly, and naturally has a considerable right to speak, and they naturally will not increase the TV broadcast fees for other clubs.
PRO Broadcasting TV wants to keep the original contract until the end of the contract period with Real Madrid and Barcelona in 2013. Other clubs were not on their radar, and naturally the other teams were all unhappy with the current allocation.
At the beginning of July, Sevilla president Del Nido called on the major clubs in La Liga to discuss the distribution of La Liga TV broadcast revenue, and shut out the two "super teams" of Real Madrid and Barcelona, but nothing was reached at the meeting, because Spain still maintains the model of 'each club talks separately', and everything is done in vain if it is not possible to negotiate with the TV broadcaster.
Atletico Madrid had to figure it out on their own.
In fact, Atletico Madrid is not a pure small club, and it is also a 'second grade' aristocrat in Spain, but Wan Sheng is dissatisfied with the team's 'second tier', he doesn't care if La Liga is fair or unfair, from the perspective of Atletico Madrid, he naturally wants to fight for the interests of the club.
PRO Broadcast TV asked Atletico Madrid to renew the TV broadcast agreement, but did not increase the cost of broadcasting.
"They seem to think they're going to eat us?"
Wan Sheng sneered.
The consideration of Pro Broadcast Satellite TV is very simple, they still have contracts with Real Madrid and Barcelona, so they can broadcast the games between the Bernabeu Stadium and the Camp Nou Stadium live, they are not afraid that other teams in La Liga will not sign contracts, and other teams will not be able to find other partners at all, even if some small balls will find partners, but which TV station is willing to spend a lot of money every year to buy out the live broadcast rights of the league at a single home stadium?
Before November, there are teams that have not signed a TV broadcast agreement, so it is likely that they will not get a penny of TV broadcast fees for a season.
Of course, if a team does not sign a contract, it will also have an impact on Pro Broadcast TV, because they do not have the right to broadcast the home games of the team that has not signed a TV broadcast agreement.
That's the contradiction.
Wan Sheng simply ignored the request of Pro Broadcasting Satellite TV, not to mention whether Atletico Madrid can afford a loss of 40 million euros, and his biggest hole card is not in Spain at all.
It's in ...... China!
Since last summer, Wansheng took Wang Qiuming to Madrid together, coupled with Atletico Madrid's performance has soared, the most live broadcast in China is Atletico Madrid's game, and the number of live broadcasts is not even less than Barcelona's game.
The process of domestic media broadcasting football matches in Spain is actually very complicated, because they have to buy broadcast fees from Pro Broadcast Satellite TV before they can broadcast each game.
Last season, there were already TV giants CCTV and online live broadcast sites such as Xinlang and Sohu, who wanted to buy the TV rights of Atletico Madrid, but it was definitely impossible that season, so now Wansheng is ready to talk to China first.
If you want to sell the TV rights of the club, the first thing to consider must be Central TV, which has more influence at the same price and can also help Atletico Madrid's brand promotion.
Atletico Madrid wants to consider, choose the two models of 'distribution' and 'package sale', the first is to sell the TV broadcast rights to several media outlets, which is naturally much lower in price, and the second is to sell the TV broadcast rights to a media in a package, for example, sell all the TV broadcast rights in Asia to the central TV, then other Asian TV stations, live broadcast websites, if you want to broadcast the Atletico Madrid game, you need to buy the broadcast rights from the central TV, Selling it alone in this way will definitely sell it for a high price.
After some internal research, Atletico Madrid still chose to 'package and sell', after all, the club's main business is football, not to negotiate with various media on TV broadcast costs every day.
In mid-July, Atletico Madrid began negotiations with CCTV for the rights to broadcast the broadcast.
Buying the TV broadcast of Atletico Madrid club separately will definitely be much less, because they have no right to broadcast Atletico Madrid's away games, but according to last season's investment and ratings, coupled with the fact that the two sides are working directly for the first time, Central TV still gave a good price - 35 million euros, 35 million euros a year to buy out the TV rights of Atletico Madrid's home league and cup in Asia.
Atletico Madrid thought about it, and the two sides finalized the contract.
In the afternoon of the same day, Atletico Madrid Club held a high-profile press conference, announcing the cooperation with CCTV in the live broadcast in Asia, the high price of 35 million euros, which also shocked the clubs and the Spanish media, they never expected that Atletico Madrid really dared to sell the TV rights alone, and the broadcast fee in Asia alone was sold at a high price of 35 million euros.
Many clubs that have not signed a TV deal for next season are also a bit impulsive to look to Atletico Madrid, such as Sevilla, whose annual TV broadcast costs are less than 20 million euros, and can sell for more than 30 million euros in Asia alone...... Pro Broadcast Satellite TV? Get out of the way!
Sevilla FC quickly communicated with Central TV, but Central TV will not spend a lot of money to buy Sevilla's TV rights, because that is completely meaningless, a round of league they broadcast Atletico Madrid's game is enough, at most away rounds, live broadcast Sevilla and Atletico Madrid, but a single game will definitely not spend a lot of money to buy, Sevilla's influence is not so great.
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