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Digital Media Expert Predicts NRL CEO Dave Smith Will Land Lucrative Digital Deal

The "extraordinary growth in Australia of online streaming service Netflix," which has emerged as a "key player in negotiations for the digital rights" of the National Rugby League, is a "sure indication" the NRL can double the A$925M ($663M) it has "already banked" under its new broadcast deal, according to James MacSmith of the AAP. That is the opinion of a leading digital media expert, who predicts NRL CEO Dave Smith will "silence his critics" and deliver the game a A$1.85B ($1.33B) bounty to the game's coffers. Strategic Agency Common Ventures Lead Strategist Damian Damjanovski said that sport is the "next huge step" for streaming services aiming to monetize the Australian market. Smith signed off the free-to-air TV rights for '18-22 to Channel Nine two years ahead of time. But he has "held off on signing away the digital rights in the belief they will only increase in value over the next two seasons." Damjanovski said, "Music is crowded, they can't make money out of news, so sport is the next big revenue stream for the megaplayers such as Amazon, Google and Apple. The value of the digital rights will only continue to increase over the next two years. And as they do I see the NRL matching the deal they already have signed with free-to-air TV." Damjanovski "points to the growth of Netflix," which has amassed 1 million subscribers since launching in Australia 12 months ago, "as a guide to where viewer habits and advertising money are heading" (AAP, 8/27).

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