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Sky TV Announces It Could Lose Rugby World Cup Rights

Sky TV said that it will "possibly lose the rights to broadcast the next Rugby World Cup," according to RADIO NEW ZEALAND. The company said that it has been told that it was "not the preferred bidder for the New Zealand broadcasting rights for next year's tournament." It said that it has been told negotiations "were underway with the preferred party," and that its bid "remained in play should those negotiations fail." Sky TV added that it was "disappointed not to be the preferred bidder" but it was an "economic reality that it could not have every match of every sport that New Zealanders like to watch." Spark and TVNZ reportedly launched a joint bid to get the rights late last year. It is estimated that New Zealand Rugby earns "up to" NZ$70M ($50.5M) a year for its TV rights (RNZ, 3/28).

RIGHTS CHANGE: NEW ZEALAND HERALD's Liam Napier wrote Sky "raising the white flag" in the bid to broadcast the 2019 RWC is "another reminder New Zealand rugby fans must prepare to change the way they view" the national sport. News that Sky is "not the preferred broadcast bidder" for the the World Cup in Japan comes "as a surprise." But "should it, really?" Sky has been "facing increasing pressure for some time." Subscribers long ago "hit a ceiling," and in the age of digital technology, Sky has been "slow to move and adjust pricing." Sky has "effectively decided it is better to take another public and potential subscriber hit than suffer the possibly crippling consequences associated with stumping up millions for the six-week World Cup." The "upshot" for rugby fans is they "may now be forced to watch the World Cup on Spark's Lightbox platform." At this stage, it costs NZ$12.99 ($9.37) for 30 days but "that may change should Spark secure the World Cup rights" (NZ HERALD, 3/28).

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