Eleven Sports, a streaming service that aimed to become the "Netflix of sport," is "at risk of closure after only four months," following its failure to secure distribution via "established" pay-TV operators and "amid concern over mounting losses," according to Christopher Williams of the London TELEGRAPH. Eleven Sports is reportedly "considering pulling the plug" on its U.K. operation after UFC "triggered an exit clause on its exclusive deal," which was due to begin in January. Crisis talks with other rights holders "are ongoing in hope that part of the business can be salvaged." The UFC deal, signed in September, required Eleven Sports to "guarantee widespread distribution via established pay-TV operators such as Sky, Virgin Media and BT, as well as its own streaming apps." However, talks with Virgin Media "collapsed last month when the cable operator refused Eleven Sports’ demands on pricing." Meanwhile, Sky and BT, which both spend heavily on sports rights for their own channels, "have been taking a wait-and-see approach to their new challenger and have not entered detailed dialogue about distributing its coverage." League Championship side Leeds United Owner Andrea Radrizzani controls Eleven Sports. An Eleven Sports spokesperson said, "Without carriage agreements with the existing platforms, alongside the challenges posed by rampant piracy, the current market dynamics in the U.K. and Ireland are very hostile for new entrants." By shutting its domestic business, Eleven Sport "could preserve its finances for its business in other countries, which are more mature and successful." The company, based in London, "operates in Italy, Poland and Portugal, among others" (TELEGRAPH, 12/12).
