REUTERS: Facebook Inc’s US$600 million shedding bid to purchase the rights reveals the network is ready to spend big bucks for sporting occasions to keep users.
Facebook on Monday emerged as the maximum bidder for the rights to flow the Indian Premier League (IPL) during 2022, but lost out into Twenty-First Century Fox Inc’s Star India, that bid US$2.55 billion to its television and streaming rights united.
Cricket is the most popular game in India and the IPL is viewed by over a billion people globally. The tournament started in 2008 with franchise owners including film stars and India’s wealthiest man.
The bidding by Facebook highlights the corporation’s efforts to accelerate its push into movie as it attempts to carry advertising dollars from television and increase the time people spend on its platform. Facebook now offers live video by a number of news publishers in addition to its users.
“(Facebook’s bidding) is still significant because it is such a large amount of money at a market that’s still nascent,” Pivotal Research Group analyst Brian Wieser stated. “It clarifies that they mean to become a true player in conventional premium video content.”
With a cash pile of US$6.25 billion, Facebook may have even more shots at bidding for live sporting occasions since it seeks to keep people glued into its expanding media community.
Facebook kicked off sports occasions about a year ago. It has since baseball basketball and much more football matches.
Another bargain for Facebook was its agreement with Major League Baseball in May to 20 matches this year.
However, the societal network lost out to Amazon.com Inc in April for the highly coveted rights to flow 10 U.S. National Football League (NFL) games this season.
Amazon agreed to cover the NFL five times the amount Twitter Inc had spent the rights which was reported to be US$10 million, a source told Reuters.
Facebook and Twitter and Snapchat parent Snap Inc were also competing to evaluate the internet rights to movie highlights from Fox for the next year’s football World Cup, ” Bloomberg.
Facebook may eye other big events such as the Olympics or the football World Cup, the world’s most viewed sports occasion, Tigress Financial Partners analyst Ivan Feinseth said.
(Reporting by Aishwarya Venugopal and Munsif Vengattil at Bengaluru; Composing by Supantha Mukherjee; Testing by Sai Sachin Ravikumar)
Facebook Inc’s US$600 million shedding bid to obtain the rights reveals the network is ready to spend huge bucks for sporting occasions to keep users.