TVB Europe: Premium sports broadcasting: the silver bullet

Traditional pay-TV operators across Europe compete fiercely for exclusivity of premium sports broadcasting rights. In the context of maturing fixed-broadband markets, an increasing share of bundled offers and the roll-out of super-fast broadband networks, telecom operators are also looking at these rights. Content is gaining weight in the consumer buying decision for bundles, and operators cannot ignore this in order to maximize the share of connected households of new-built super-fast broadband networks. However, the acquisition of sports broadcasting rights has become very expensive, resulting in squeezed margins and potential arbitrage versus network investments. In this article, Clemens Schwaiger and Daniel Cheaib of Arthur D. Little discuss if premium sports broadcasting is the silver bullet to win the broadband game.