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Football, rugby hit as Foxtel budget cuts bite

by The Editor
June 17, 2019
in Sports
0
Football, rugby hit as Foxtel budget cuts bite

Football and rugby's second-tier domestic competitions, the FFA Cup and the National Rugby Championship, are in the firing line amid the first wave of budget cuts at embattled subscription television provider Foxtel.

The Herald understands Rugby Australia is in negotiations to shoulder a portion of the NRC's production costs while rights for the FFA Cup could be on-sold to another network as Fox Sports looks to reduce costs under the weight of a $417 million financial loss in 2018.

Uncertain future: Fox Sports could look to on-sell rights to the FFA Cup amid financial issues at the pay-TV broadcaster.

Uncertain future: Fox Sports could look to on-sell rights to the FFA Cup amid financial issues at the pay-TV broadcaster.Credit:AAP

The pay-TV broadcaster's controlling shareholder, News Corp, indicated last month it would cut costs to "non-marquee sporting content".

Rugby is the most immediately vulnerable, with just one more year left on the current broadcast deal. But where Super Rugby ratings grew by about 10 per cent this season, A-League ratings continued their downward spiral.

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Fox Sports' waning appetite for the round-ball code is clear – it tried to wriggle out of a $5 million annual increase in its contract with FFA as part of the A-League's expansion, and is considering selling off two of the five weekly games to a free-to-air partner.

The FFA Cup, a sentimental favourite on the football calendar, is wrapped up in the current $346 million arrangement with FFA, which does not expire until 2023.

Organisers at FFA and Fox production staff are continuing to press ahead with normal planning ahead of next month's opening fixtures in the round of 32.

But after recent redundancies – in which some of football's strongest in-house advocates were shown the door – there are growing fears the cup could be next to go. Fox would need FFA's permission to on-sell the rights to the knockout tournament.

Along with the Seven and Ten networks, it is believed SBS has been involved in preliminary talks over the A-League's free-to-air rights and may yet emerge as the cup's saviour.

Asked on Monday about the FFA Cup's future on the pay-TV provider, Fox Sports head of television Steve Crawley said he was "unaware of any discussions" around the tournament.

FFA chief executive David Gallop said: "We continue to work with Fox to create value and next season with the return of the Western Sydney Wanderers to a world-class stadium and the introduction of Western United we expect improvements to our A-League ratings.

"The FFA Cup is unique in Australian sport. It unites the entire football community from the grassroots to the Hyundai A-League and Foxs coverage has always been an important way of showing the local stories and the special moments of the cup."

Fox's financial woes have led to the departures of key personnel in the past month including well-known rugby commentator Sean Maloney, long-serving executive producer of rugby Simon Gee, veteran director Matthew Heaton and football department executive producer Murray Shaw. Geoff Bullock, another high-ranking football producer, resigned prior to the cuts.

Fox Sports' rugby department did not respond to requests for comment.

RA chief Raelene Castle said she believed Fox Sports saw the value in the 15-man game.

"Were at that stage where we cant talk about any detail because of commerRead More – Source

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Football and rugby's second-tier domestic competitions, the FFA Cup and the National Rugby Championship, are in the firing line amid the first wave of budget cuts at embattled subscription television provider Foxtel.

The Herald understands Rugby Australia is in negotiations to shoulder a portion of the NRC's production costs while rights for the FFA Cup could be on-sold to another network as Fox Sports looks to reduce costs under the weight of a $417 million financial loss in 2018.

Uncertain future: Fox Sports could look to on-sell rights to the FFA Cup amid financial issues at the pay-TV broadcaster.

Uncertain future: Fox Sports could look to on-sell rights to the FFA Cup amid financial issues at the pay-TV broadcaster.Credit:AAP

The pay-TV broadcaster's controlling shareholder, News Corp, indicated last month it would cut costs to "non-marquee sporting content".

Rugby is the most immediately vulnerable, with just one more year left on the current broadcast deal. But where Super Rugby ratings grew by about 10 per cent this season, A-League ratings continued their downward spiral.

Advertisement

Fox Sports' waning appetite for the round-ball code is clear – it tried to wriggle out of a $5 million annual increase in its contract with FFA as part of the A-League's expansion, and is considering selling off two of the five weekly games to a free-to-air partner.

The FFA Cup, a sentimental favourite on the football calendar, is wrapped up in the current $346 million arrangement with FFA, which does not expire until 2023.

Organisers at FFA and Fox production staff are continuing to press ahead with normal planning ahead of next month's opening fixtures in the round of 32.

But after recent redundancies – in which some of football's strongest in-house advocates were shown the door – there are growing fears the cup could be next to go. Fox would need FFA's permission to on-sell the rights to the knockout tournament.

Along with the Seven and Ten networks, it is believed SBS has been involved in preliminary talks over the A-League's free-to-air rights and may yet emerge as the cup's saviour.

Asked on Monday about the FFA Cup's future on the pay-TV provider, Fox Sports head of television Steve Crawley said he was "unaware of any discussions" around the tournament.

FFA chief executive David Gallop said: "We continue to work with Fox to create value and next season with the return of the Western Sydney Wanderers to a world-class stadium and the introduction of Western United we expect improvements to our A-League ratings.

"The FFA Cup is unique in Australian sport. It unites the entire football community from the grassroots to the Hyundai A-League and Foxs coverage has always been an important way of showing the local stories and the special moments of the cup."

Fox's financial woes have led to the departures of key personnel in the past month including well-known rugby commentator Sean Maloney, long-serving executive producer of rugby Simon Gee, veteran director Matthew Heaton and football department executive producer Murray Shaw. Geoff Bullock, another high-ranking football producer, resigned prior to the cuts.

Fox Sports' rugby department did not respond to requests for comment.

RA chief Raelene Castle said she believed Fox Sports saw the value in the 15-man game.

"Were at that stage where we cant talk about any detail because of commerRead More – Source

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