Friday, 23rd February 2007

HEADLINES OF THE DAY

Prized Serie A Rights Snapped Up in Asia

Television and new media rights to Italian soccer’s top-tier Serie A have today been granted to companies in various Asian territories. In China, state broadcaster CCTV has secured the rights to 60 matches per season for three years, beginning with the 2007-08 season. However, the main package of broadcasting rights has still to be awarded. The Chinese new media rights have gone to IT company Hi Sun Technology.

For the first time, Serie A coverage in Hong Kong will be split between two pay-television operators. The NOW broadband television unit of PCCW, the territory’s largest telecoms company, will show 130 matches per season on its new Mega Sports Channel, while I-Cable Communications has won the rights to 60 matches. PCCW recently outbid incumbent I-Cable to acquire the rights to English soccer’s top-tier Premiership for the next three seasons.

In Macau, exclusive Serie A rights have been granted to TDM, one of the territory’s major television networks, while in Vietnam, a package of 130 Serie A matches per season has been picked up by the Vietnam Advertising group. Meanwhile, new media rights in the well-developed broadband country of South Korea have been awarded to interactive media and entertainment company MediaCorp.The sale of rights in Asia is being handled by Dentsu, the Japanese advertising giant, together with Media Partners & Silva, the Italian sports rights distributor. It is the first time that Dentsu has agreed to act as an Asian sales agent for the broadcasting rights of an overseas soccer league. Source: Sportcal, 22nd February 2007

Mobile Enterprise Market Soaring in Asia

The growing number of mobile workers, increasing focus on improving operational efficiency and customer experience is fuelling growth of mobile enterprise applications and services in Asia-Pacific, according to Frost &Sullivan. Mobile operators are increasingly turning to mobile office applications in an attempt to improve ARPU amid stagnating subscriber numbers and decline in voice revenues.

The analysis reveals that the revenues in the Asia Pacific mobile enterprise market, covering 12 major Asia-Pacific countries excluding Japan, totaled $20.68 billion in 2006 and is forecasted to be worth $35.51 billion by end-2011. F&S also said the mobile enterprise market includes all mobile revenues from the enterprise segment which covers corporate voice services, mobile office, and other applications such as field force automation, CRM and ERP.

Mobile office applications, especially mobile email applications, are showing strong growth, highlighting the importance of corporate sector customers. Voice however remains the main revenue generator. Most mobile operators are likely to concentrate on the mobilization of vertical industry applications and business processes in the future.

Whilst the mobile enterprise segment is a small revenue contributor (at under 20%) to the regional mobile market, certain countries such as Australia, New Zealand and Singapore have relatively mature mobile enterprise sectors. Source: Telecom Asia, 23rd February 2007


WHAT’S THE BUZZ?

Wimbledon to Pay Women Equal Prize Money

The All England Club, which runs tennis’ Wimbledon championships, has today announced that the tournament will fall into line with other Grand Slam events and pay equal prize money to men and women from this year. Wimbledon joins the United States and Australia in paying equal money across the board, from the champions down to the first-round losers in all events. The French Open only offers the same cheque to the champions.

Tim Phillips, the chairman of the All England Club, said the championship committee had decided 'that the time is right to bring this subject to a logical conclusion and eliminate the difference.' He admitted that the decision would cost the club £600,000 ($1.17 million) but 'recognises the enormous contribution that women's players make to the game and to Wimbledon.'

Last year, the women's WTA Tour accused the Wimbledon organisers of having a ‘Victorian era view’ for sticking to a policy of awarding higher prize money to its men’s singles champion than the women’s champion. Roger Federer, the men's champion, earned £655,000 ($1.3 million), while his female counterpart, Amélie Mauresmo, took home £625,000. Source: Sportcal, Metro News, IBN Live, 22nd February 2007, Amelie Mauresmo’s Reaction on Gulf News, 23rd February 2007


INFO BOX

Media Value Index of Top-10 Football Clubs
Feb 07 Ranking, Media Value Index, (Sep 06 Media Value Index)
1. Real Madrid 72.1 (84.2)
2. Manchester United 67.7 (65.6)
3. FC Barcelona 65.1 (72.5)
4. Chelsea 62.9 (52.9)
5. Inter Milan 47.1 (35.3)
6. Arsenal 43.6 (49)
7. AC Milan 38.2 (42.8)
8. Bayern München 35.5 (47.6)
9. Liverpool 33.6 (36.9)
10. Werder Bremen 26.4 (20.3)
Source: Football Insider, 22nd February 2007

Media Value Index of Top-5 Football Managers
Manager, Club, Feb 07, Media Value Index
1. Sir Alex Ferguson Manchester United 15.9
2. Jose Mourinho Chelsea 14.5
3. Fabio Capello Real Madrid 12.1
4. Arsene Wenger Arsenal 8.5
5. Frank Rijkaard FC Barcelona 7.1
Source: Football Insider, 22nd February 2007


SPORTS SHORTS

* Major League Baseball is close to announcing a $700 million deal that would make DirecTV the exclusive home of the pay service that lets viewers see games outside the markets where they live. DirecTV also pledged more money than the cable companies for the rights to "Extra Innings" - $100 million annually for seven years. Source: Palm Beach Post, 22nd February 2007

* The Football Association of Malawi, lately battling a cash squeeze, has sealed a K4.2 million (US $30,000) TV rights deal with a French production firm—International Football Advertising and Promotions (Ifap) for the 2008 Africa Nations Cup qualifier against Morocco’s Atlas Lions slated for June. Initially, FAM signed a K3.5 million (US $25,000) agreement with French firm, RP Productions but has since been cancelled following the latter’s failure to make a down payment upon signing the agreement. Source: Nation Malawi, 22nd February 2007

* ESPN said it will expand high-definition offerings in seven featured segments. In 2007, it will show NASCAR, NBA, Major League Baseball, Major League Soccer, and NFL Monday Night Football telecasts in HD. Altogether, ESPN HD and ESPN2 HD will deliver more than 7,000 hours in high definition this year. More than 95% of ESPN and ESPN2’s studio programming is in high definition, including SportsCenter, NFL Countdown, NFL Monday Night Countdown, NFL Live and Baseball Tonight. Source: Broadcasting & Cable, Broadcast Newsroom, 21st February 2007

* LemonQuest, a Spanish mobile games publisher, is to launch Ronaldinho Gaucho Street Soccer, a series of mobile phone games based on a comic by Brazilian author Mauricio de Sousa. De Sousa's comic follows the life of Ronaldinho Gaucho as an eight-year old boy. The first installment that will arrive to the market is Ronaldinho Gaucho Street Soccer 2007. LemonQuest designed the control system specifically for mobile phones and the graphics will remain faithful to de Sousa's original comic. Source: Digital Media, 22nd February 2007

* Manchester United has appointed Lee Daley as its new Group Commercial Director. The 43-year-old will leave his post as chairman and chief executive of advertising agency Saatchi and Saatchi, and take up his new post in mid-April. He will oversee all of the club’s commercial plans, from sponsorship to media, financial services and marketing. Daley will join the board of Manchester United Ltd, jointly chaired by the Glazer brothers, Joel and Avram. Source: Football Insider, Brand Republic, Sport Business, Sportcal, 22nd February 2007

* Cisco has dropped the trademark infringement lawsuit against Apple after the announcement of plans to launch a mobile phone called iPhone. Under the settlement, the two companies will share the name, which has been used by Cisco for seven years on its line of internet-linked telephones, on products around the world. Apple announced in early January it was to move into the mobile phone market with its touchscreen iPhone, leading to the suit from Cisco. Source: Brand Republic, Paid Content, Total Content + Media, Telecom Asia, 22nd February 2007


MORE NEWS

Hong Kong/Broadcast: I-Cable Counts on Free TV to Soften Loss

I-Cable Communications is trying to build a new free television model by tapping advertising revenue to ease the impact of losing its exclusive rights to air English Premier League football matches later this year, i-Cable Entertainment executive director Tsui Siu-ming says. The company's Cable TV is losing its dominance as a broadcaster of foreign sport programmes after PCCW's Now TV won the exclusive rights to broadcast EPL matches from August.

Last week, PCCW broke Cable TV's monopoly on Italian Serie A matches by securing about 130 matches each season for three years, also from August. Cable TV will keep the rights to show about 250 matches over the same period. Sports programmes had helped i-Cable establish a leading position in the market but their costs were "one-off" and such programmes did not generate new revenue through being resold to other stations after their initial broadcast.

The company aims to increase local audience through programming such as Cable Entertainment News and differentiate itself further from Now TV, which relies more on foreign content such as Hollywood and ESPN Star Sports programmes. A new Chinese-language channel will aim to increase Cable TV's customer base this summer, offering a mix of programmes such as news, entertainment and sports.

The channel, which has yet to be named, will be similar to the company's A Channel, whose mix of Cable TV programmes is broadcast to about 500,000 Hong Kong households via Satellite Master Antenna Television (SMATV) and whose viewing costs tend to be included in building management fees. The new channel will rely on advertising rather than subscription fees for its main revenue. Source: Asia Media, 22nd February 2007

The Philippines/General: Cleared to Return to International Basketball

The Philippines will be able to compete in international basketball competitions once again after international federation FIBA lifted its ban on the country. The suspension was imposed as long ago as July 2005 after the Philippine Olympic Committee deregistered the Basketball Association of the Philippines (BAP) in a row over national selection and decided to recognise the newly-formed Philippine Basketball Federation (SBP) as the sport’s governing body.

There was a breakthrough in the impasse last year, when the rival bodies signed the Tokyo Agreement pledging to unify basketball stakeholders in the Philippines, and the merger of the BAP and SBP was approved at a Unity Congress earlier this month. The new body has been accredited by the Philippines Olympic Committee and FIBA and the national team can now return to international competition. Source: Sportcal, 22nd February 2007

Thailand/New Media: Official Urges TOT to List Thai Mobile

Thailand’s Information and Communications Technology Minister Sitthichai Pookaiyaudom has urged the new TOT board to steer the state agency's cellular operator, Thai Mobile, towards listing on the Stock Exchange of Thailand this year. He said Thai Mobile should seek funds from such a listing to invest in the rollout of a 3G broadband cellular network.

Thai Mobile is the only cellular operator in Thailand that owns a frequency in the 1900-megahertz spectrum, which is suitable for developing 3G service. As such, it can proceed immediately to develop 3G services, for the National Telecommunications Commission (NTC) to complete licensing regulations for 3G technology and allocate frequencies. Thai Mobile is a joint venture between TOT and CAT Telecom.

TOT is in the process of buying CAT's shares and taking full control of the company. The country's major telecom operators are eager to obtain 3G licenses so they can use the blazing speed of the new technology to provide wireless services like video-calling and interactive wireless games, thereby earning more revenues. Source: Telecom Asia, 23rd February 2007

Global/Broadcast: A1GP Expands Into New Territories

Distribution of the A1GP series has increased from 110 countries in its first season to 150 countries in 2006-07, and has upgraded its channels in several markets. The worldwide average audience for races this season, which began last October, are over 60% higher, rising from about eight million viewers to 13 million. A good chunk of that viewership is delivered by ESPN Star in Asia.

Richard Dorfman, A1GP executive director and general manager broadcasting and media rights, told Sports Media: "Around the world, we are 55% to 60% on free-to-air networks and the rest on pay-TV. In a lot of places we have a combination of the two. That is usually the case in countries where we have a team. We also are one of the new competitions where our broadcasters actually show the qualifying." Many of A1GP's deals cover the first three seasons.

A1GP said this week that it would implement a regional business structure. Under recently appointed CEO, Pete da Silva, four regional companies will manage interests in the Americas, Europe, Middle East and Africa and Asia. Former chief operating officer, David Clare, will take responsibility for Asia while Scott Hollingsworth, Bruce Holmes and Pete da Silva will manage the Americas, Europe and the Middle East and Africa respectively during the initial set-up phase. Source: Sports Media, 22nd February 2007

Elsewhere/General: Boxing Still Bullish On TV - Promoter

Boxing organisers must make sure bouts are compelling to retain TV fans, according to a major promoter. Dan Goossen of Goossen Tutor Promotions is looking forward to May 5 in Las Vegas, when one of his fighters, Floyd Mayweather Jr., will face-off against Oscar De La Hoya in a World Boxing Council (WBC) light middleweight clash. The bout on HBO is expected to be the highest grossing non-heavyweight pay-per-view bout in the history of the sport.

“Boxing has a great heritage to it, and will continue to have that type of spotlight on it. If you give fans something they want to see it’s going to go through the roof. That’s not a dying sport. The interest is there but you have to have compelling events and fighters who have the personalities to shine the spotlight on your sport. Asia and Europe have always been hotbeds for excitement in boxing, but we’ve got so much boxing out there that the product is not well taken in certain countries on a consistent basis.” Source: Sports Media, 22nd February 2007


ARTICLES, COMMENTS & OPINIONS

WWE-TNA Ratings Battle Provides Valuable Lessons

TNA and Spike TV are both moderately satisfied with last week's ratings performance. There were two lessons learned from last week's Monday special and Thursday head-to-head match-up.

First, wrestling fans want to see wrestling matches. The "This is TNA!" viewership dropped as the show progressed, which almost never happens for Raw. It opened with a 1.25 rating for Q1's King of the Mountain match and grew to a 1.31 in Q2 for the conclusion. Then the rating dropped to a 1.18 and 1.17 for the 30 minute stretch heavy on video packages leading into LAX vs. A.J. Styles & Christopher Daniels.

The start of the second hour jumped back to a 1.25 rating, but then dropped progressively the rest of the show down to a 1.02 rating for the Christian promo and Elevation X announcement. Lesson: Build to wrestling and then feature it. Another potential lesson: Once fans realize a show isn't live (or at least first-run material) they begin tuning out. Another potential lesson: Every show loses viewers as it progresses, but usually it gains new viewers, but when you title a show "This is TNA!" wrestling fans are less likely to discover you than if you have "wrestling" in the title.

The lesson learned from the Thursday head-to-head match-up is that wrestling fans who watch both TNA and WWE are more loyal to WWE than TNA. That's a bad position to be in for an "underdog" promotion.

TNA Impact ratings dropped to around half of the usual viewership, while the Raw special drew about the same percentage of the recent Monday Raw viewership as the Raw Thursday special did last year unopposed by TNA Impact. So, as best can be determined from a small sample of data, half of TNA's Impact viewership was willing to abandon ship for Raw, while very few Raw viewers skipped Raw to watch Impact.

TNA has taken flack for putting on a Gauntlet Match as the main event. I don't think they deserved as much flack for that as they're getting for the concept itself because it was a match that allowed TNA to feature a big dose of its star power in one match. It's not the match choice, but the amount of time and hype given to it that deserves flack. It was simply too short and there wasn't enough hype to make it feel important or set the stage for it. The middle 20 minutes of Impact could have been cut out entirely - it was extraneous comedy skits and video features - and the Gauntlet Match extended to twice the length, and then it might have worked out better.

Overall, Spike and TNA were happy with the ratings on Monday, as they should have been (it was twice Spike's usual rating on Monday night), and the loss of viewers on Thursday up against a loaded Raw main event was expected. Even more importantly, TNA learned some valuable lessons from the ratings last week and they should consider those lessons invaluable and incorporate them into all future programming and booking decisions. Wade Keller comments on PW Torch, 22nd February 2007