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Deloitte Says Global Sports Rights To Hit $26.3B In '14, Driven By European Football, MLB

The market for global sports rights will hit £16B ($26.3B) in '14, a rise of 14% on last year, "as demand for top-flight European football and Major League Baseball entices hefty investments from broadcasters," according to Jennifer Rankin of the London GUARDIAN. Deloitte said in a report that "it saw no end to the rush for premium sports rights, with revenue growth driven by new broadcast deals for the English Premier League, Germany's Bundesliga and U.S. baseball." The accounting company added that sports rights payments "will outpace global pay-TV revenues, which are expected to grow 4% this year, with premium sports content more valued than ever as a lure for audiences." Deloitte said that European football will contribute 46% of the '14 rights total with £6.5B ($10.7B), with the Premier League accounting for £1.9B ($3.1B). The growth in cost of sports rights "has accelerated this year, having grown by an average of 5% over the past four years before the projected double-digit leap" in '14 (GUARDIAN, 1/3). ADVANCED TELEVISION reported Deloitte Sports Business Group Senior Consultant Austin Houlihan said that the firm "sees no signs that the premium sports rights value bubble is about to burst, and predicts that rights fees for live content to premium properties overall will continue to grow." He said, "Premium live sport delivers large audiences, typically characterized by an attractive demographic profile. It drives subscriptions and generates advertising for broadcasters, particularly in an increasingly altered media landscape" (ADVANCED TELEVISION, 1/3).

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