Broadcaster Claims Tennis Australia Cost Sport By Not Testing Market On Broadcast Deal
Tennis Australia "is remaining silent about its curious decision to sign a new five-year broadcasting deal with Seven West Media without testing the value of the rights on an open market thirsty for premium sports content," amid claims the strategy has cost the sport up to A$50M ($47.9M) in lost revenue, according to Linda Pearce of THE AGE. While it is believed the new contract is worth more than the estimated A$35M-A$40M a year for five years being reported, "there is still no explanation for the decision not to open the rights up to tender after Seven's exclusive six-month negotiating period ended" on Sept. 30. Ten spokesperson Neil Shoebridge said, "We find it extraordinary that Tennis Australia has not put this out to tender when they indicated to us, and to Nine, that they would do that. It wouldn't have cost them one cent to test the market to see what others would have come up with" (THE AGE, 6/14).