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BSkyB and Setanta agrees PL pubs and clubs rights deal
England - 10 May, 2006
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Fresh off earning the rights to televise English Premier League matches, BSkyB and Setanta have signed a deal enabling pubs and clubs to see all contests for a single subscription.
The companies said that pubs, clubs, sports centres and other commercial Sky customers would see Setanta’s 46 live matches each season, as well as BSkyB’s 92 matches, Reuters reported. The rights cover three years beginning with the 2007-2008 season.
Setanta’s coverage also will be carried on Sky’s satellite platform as a standalone subscription service, after the companies reached a separate agreement for Sky to provide conditional access services such as encryption and regionalisation.
“Setanta will pay Sky a monthly fee for this service (we have assumed 2.00 pounds per subscriber per month) which will offset the lost revenues from the closure of Premiership Plus, Sky’s pay-per-view service,” Exane BNP Paribas analyst Philip Guest mentioned in a research note.
Setanta said last week that its matches will be carried on NTL’s cable platform. The company is also considering a pay service on digital terrestrial TV, commonly known as Freeview.
BSkyB is paying nearly twice as much per game as it did for its existing deal and is losing exclusivity, following the European Commission’s mandate that required more than one company to have rights.
The rights generated GBP 1.706 billion, with BSkyB paying GBP 1.314 billion and Setanta GBP 392 million.
Sky won the highly sought Package A, with late Sunday afternoon matches. It also claimed rights for early afternoon Saturday and Sunday matches, as well as a group to be played midweek and on bank holidays.
Setanta's 46 games, for which it is paying about GBP 2.8 million apiece, are mostly scheduled for Saturday evenings and Monday nights.
BSkyB shares fell 0.38 percent to 525 pence by 0903 GMT.
The companies said that pubs, clubs, sports centres and other commercial Sky customers would see Setanta’s 46 live matches each season, as well as BSkyB’s 92 matches, Reuters reported. The rights cover three years beginning with the 2007-2008 season.
Setanta’s coverage also will be carried on Sky’s satellite platform as a standalone subscription service, after the companies reached a separate agreement for Sky to provide conditional access services such as encryption and regionalisation.
“Setanta will pay Sky a monthly fee for this service (we have assumed 2.00 pounds per subscriber per month) which will offset the lost revenues from the closure of Premiership Plus, Sky’s pay-per-view service,” Exane BNP Paribas analyst Philip Guest mentioned in a research note.
Setanta said last week that its matches will be carried on NTL’s cable platform. The company is also considering a pay service on digital terrestrial TV, commonly known as Freeview.
BSkyB is paying nearly twice as much per game as it did for its existing deal and is losing exclusivity, following the European Commission’s mandate that required more than one company to have rights.
The rights generated GBP 1.706 billion, with BSkyB paying GBP 1.314 billion and Setanta GBP 392 million.
Sky won the highly sought Package A, with late Sunday afternoon matches. It also claimed rights for early afternoon Saturday and Sunday matches, as well as a group to be played midweek and on bank holidays.
Setanta's 46 games, for which it is paying about GBP 2.8 million apiece, are mostly scheduled for Saturday evenings and Monday nights.
BSkyB shares fell 0.38 percent to 525 pence by 0903 GMT.
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