New regulations in Malaysia demanding sharing of sports rights content are a significant setback for local pay-television broadcaster Astro and could particularly benefit its key rival, Telekom Malaysia, local analysts say.
The regulations, which were announced by the government this week, say that broadcasters holding the rights for certain sports events “of national significance” must share them with free-to-air broadcasters. If no free-to-air broadcasters want to acquire the rights, they must then be offered to pay-television broadcasters. Any free-to-air or pay-television broadcasters seeking to acquire the rights from the original buyer must make offers “on reasonable commercial terms”.
The list published by the Malaysian government covers rights held by Astro including the ‘final match’ from football’s English Premier League, and Malaysian domestic football league and cup matches.
Astro and Telekom operate competing pay-television services. Astro has by far the strongest sports portfolio, including rights for English Premier League, Uefa Champions League, and Malaysian domestic football.
“The relaxation of the content framework is positive for Telekom Malaysia as internet television is a key product offered in its UniFi [IPTV] packages, which continue to see solid take-up,” research company OSK said in a report. The report described the new regulations as a “blow” to Astro.
The report said other rivals to Astro, including cable-television operator Asian Broadcasting Network, mobile operator Maxis and free-to-air television operator Media Prima, could also benefit from the changes.
The full list of sports covered by the new regulations, as described by a Malaysian government document announcing the measures, is as follows:
FOOTBALL
• the English Premier League “final match”
• the Fifa World Cup semi-finals and final of
• the Malaysian national team’s matches at the Asian Football Confederation Cup
• the Malaysian national team’s matches in the ASEAN Football Championship
• the Malaysian Super League, Premier League and the semi final and final of the Malaysian Cup
BADMINTON
• the finals and matches involving the Malaysian national team at the Thomas Cup and the Uber Cup
• the finals and matches involving the Malaysian national team at the All England Open Badminton Championship
• Badminton World Federation Super Series events held in Malaysia
OTHERS
• Summer Olympic Games
• Commonwealth Games
• Asian Games
• Southeast Asian Games
• Sukma Games (the Malaysian national games)
Link to Malaysian government document: http://www.skmm.gov.my/attachment/pdf/Min_Det_Sports_Events.pdf
Updated on 27 April 2012