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In a surprise turn of events, the South African Broadcasting Corporation (SABC) has emerged victorious over SuperSport, the sports broadcasting giant, in the race to secure television rights for the Africa Cup of Nations (AFCON). This development comes ahead of the highly-anticipated 2023 AFCON tournament set to take place in Ivory Coast.
Just a week ago, Multichoice, which operates SuperSport, announced a notable setback as it revealed its failure to come to an agreement for the broadcast rights of the continent's premier football event. This left fans across South Africa anxious about their prospects of enjoying the games through Multichoice's DStv platform, known for its extensive sports coverage.
On the flipside, SABC brought good news to South African football supporters, announcing that it would be broadcasting all 52 matches of the tournament across its TV channels and digital platforms. The state broadcaster's success is attributed to a strategic sub-licensing agreement with New World TV, which holds extensive media rights to all Confederation of African Football (CAF) competitions until the year 2025.
In a savvy move, New World TV opted to unbundle the media rights, creating separate packages for free-to-air television and pay-TV services. This crucial decision meant that SABC and Multichoice were not head-to-head for the same set of rights, allowing for more specialized negotiations.
While Multichoice faced a deadlock with New World TV over the pay-TV rights, SABC cleverly seized the opportunity to carve out a separate deal for the free-to-air rights. This strategic differentiation played a key role in the state broadcaster’s successful bid.
SABC's Chief Operations Officer Ian Plaatjies, during an interview on Radio 2000's Game On, highlighted the importance of having a willing buyer and seller in such negotiations, noting that alignment on price was a pivotal factor achieved well ahead of the announcement. Plaatjies also pointed out that securing sponsorships to cover the cost of the rights was an essential step in concluding the deal.
The open market approach of rights separation ensured fairness in the acquisition process. While SABC has secured the free-to-air rights, it was also revealed that pay-television operator StarTimes managed to snag a deal with New World TV to broadcast all 52 matches to its sub-Saharan subscribers, further sidelining Multichoice's DStv in the AFCON broadcast rights arena.
This development is significant for several reasons. Geographically, it expands the reach of the tournament to a broader audience, many of whom rely on free-to-air television. Economically, it represents a savvy business move by SABC, positioning itself as a key player in the sports broadcasting sector. Moreover, it signals a shift in the dynamics of sports media rights, with unbundling potentially becoming a preferred approach for rights holders seeking to maximize their properties' value.
Ultimately, this is a win for South African football fans, who now have guaranteed access to one of the continent's most prominent sporting events. It serves as a showcase not only of the nation's passion for football but also of the astute business acumen of its public broadcaster.