National Rugby League Sponsor Telstra Considering Ending 17-Year Association

The National Rugby League faces "another major setback" amid fears Telstra is "seriously considering terminating its 17-season association as naming rights sponsor," according to Darren Davidson of THE AUSTRALIAN. Sources close to the telecom said that Telstra, which has committed to spend A$100M ($73.46M) with the code under its current five-year deal, "could seek to retain new media rights as part of a new agreement but is close to tearing up the title sponsor agreement or stay on as a minor sponsor." Losing its naming rights sponsor would be a "further blow" for the ARL Commission after it was reported on Thursday that NRL CEO David Smith was set to fall "significantly" short of his bid for a A$1.7B ($1.25B) payday for the code's TV rights. Sources said that the banker turned rugby league CEO had "put the ambitious target at risk after awarding not only free-to-air TV rights but also streaming rights, to four games a week to the Nine Network." A spokesperson for Telstra "declined to comment" (THE AUSTRALIAN, 8/21).