Due to COVID-19 cases in its bio-bubble, the BCCI stands to lose over Rs 2000 crore in broadcast and sponsorship money earmarked for this year’s Indian Premier League (IPL), which was postponed indefinitely on Tuesday. Multiple cases of COVID-19 among players and support staff have been recorded in Ahmedabad and New Delhi in the last few days, forcing the BCCI to postpone the IPL. “We could lose anywhere between Rs 2000 and Rs 2500 crore as a result of the season’s midway postponement. Anything in the region of Rs 2200 crore would be a more reliable estimate, in my opinion “On condition of anonymity, a senior BCCI official told PTI.
The 52-day, 60-match tournament would have ended on May 30 in Ahmedabad. Before the virus stopped play, only 24 days of cricket were possible, with 29 games played.
The most significant loss for the BCCI is the revenue it receives from Star Sports for the tournament’s television rights. A five-year deal with Star is worth Rs 16,347 crore, or Rs 3269.4 crore per year.
If a season consists of 60 games, the per-game value is approximately Rs 54.5 crore. If Star pays per match, the total cost for 29 matches will be about Rs 1580 crore, compared to Rs 3270 crore for the whole tournament. The Board will lose Rs 1690 crore as a result of this.
Similarly, the tournament’s title sponsors, VIVO, pay Rs 440 crore per season, but BCCI is expected to get less than half of that due to the postponement.
Add in associate sponsors like Unacademy, Dream11, CRed, Upstox, and Tata Motors, which each pay about Rs 120 crore. There are also several affiliate sponsors.
“If you cut all of the payments in half or a little less, you’ll be looking at a deficit of about 2200 crore. The real losses may be even higher, but this is a rough estimate for the season “According to the official,
The lack of a significant sum of money would also cut the season’s central income pool (the money distributed by BCCI among the eight franchises) by nearly half.
The official, however, did not say how much each franchise would lose as a result of the tournament’s suspension.
“Given the current economic situation, it’s impossible to estimate how much sponsorship and co-sponsorship money they won this season,” he said.
Players will be paid on a per-hour basis rather than on a pro-rata basis. When players are only present for a portion of the tournament, their wages are paid pro-rata, which means “assigning a sum to one participant according to their share of the total.”
According to a senior player, pro-rata only applies where a player willingly declares himself available for only a portion of the tournament depending on the matches that are available.
The occurrence has been suspended in this situation, and the franchises are expected to pay for at least half of the season.