IPL media rights auction: Redefines cricketing standards but nowhere near EPL, NFL or NBA

New Delhi: The Board of Control for Cricket in India (BCCI) bagged a whopping sum of INR 16,347.5 crore (US$ 2.55 billion) for its IPL television and digital rights from Star India, which came out on the top after submitting the highest consolidated offer for the worldwide rights for the next five years (2018 to 2022). But is that enough to consider the cash-rich cricket league with global players like EPL, NFL and NBA? We try to find out!

IPL Media Rights Auction

Star and Sony Pictures Network India were the only two biddiers deemed eligible by the BCCI for IPL rights after a total of 24 bid documents were purchased, though only 14 bids were recieved. 

Sony's individual bid for broadcast (TV rights) this time was Rs 11,050 crore as compared to Star's Rs 6,196 crore. But since the consolidated global bid was greater than the sum total parts of every individual bid, they eventually won the rights.

Here are the final figures recieved by the bidders:

Here are the final figures for IPL Media Rights for the period from 2018-2022. #IPLMediaRights pic.twitter.com/2y1m0X4701 — IndianPremierLeague (@IPL) September 4, 2017

In 2009, it was Sony who had bought the television rights for a sum of $1.63 billion for nine years from World Sports Group, which had initally bagged the rights for $918 million from BCCI for 10 years.

Comparing with global franchise sports leagues

How does the IPL media rights fare when compared to some other franchise-based sports leagues in the world?

IPL vs other major sports leagues:

(Figures in billion dollars/per year)

EPL -$13 B for 3 yrs (4.3B/yr)
NFL -$27 B/ 9 yrs (3B/yr)
NBA - $24 B/9 yrs (2.6 bn/yr)
IPL -$2.5 B/5 yrs (0.5B/y)

IPL vs other major leagues
EPL -$13 B for 3 yrs (4.3B/yr)
NFL -$27 B/ 9 yrs (3B/yr)
NBA - $24 B/9 yrs (2.6 bn/yr)
IPL -$2.5 B/5 yrs (0.5B/y) — Ravi Teja (@Raviteja53) September 4, 2017

A comparison between individual IPL and Team India matches

As per the current deal between Star Sports and the BCCI, for every match the broadcaster pays:

Team India: 40 crore
IPL: 55 Crore

Per match the boradcaster pays

Team India: 40 crore
IPL: 55 Crore https://t.co/ghWEtNEo7Q — Nikhil Naz (@NikhilNaz) September 4, 2017

Another intersting comparison highlighting IPL's protential

EPL rights were purchased for $5.1 billion for 3 years in UK only. Whereas, IPL goes for $2.5 billion for 5 years worldwide.

EPL: $5.1 billion for 3 years (UK only)

IPL: $2.5 billion for 5 years (worldwide)

Interesting comparisons

EPL went for $5.1 billion for 3 years (UK only)

IPL went for $2.5 billion for 5 years (worldwide)

Long way to go — Innocent Bystander (@InnoBystander) September 4, 2017

The Indian Premier League might have redefined cricketing standards in terms of its media valuation, but it still is far away from being pronounced as a global player like the English Premier League, National Basketball Association or National Football League.

Speaking about the astronomical investment, Chairman of Star India Uday Shankar said, "We believe the IPL is a very powerful property, and we believe there is lots more value that can be created for fans of cricket on digital and TV.

"We would remain committed to ensure the growth of sports in this country continues to be driven by the power of cricket," he added.