Question marks continue to surround the future of Olympic Games rights in Germany after a senior executive from public-service broadcaster ZDF criticised Discovery Communications over the stalled negotiations for a contract.
ZDF and fellow public-service broadcaster ARD are currently in talks with Discovery over a sublicensing deal for rights covering the Olympic Games in 2018 and 2020.
The Manager Magazin business news publication last week reported that Discovery has been asking for €150m ($165.3m) for the two events, while ARD and ZDF have so far only been prepared to pay €100m. It added that ARD and ZDF are ready to cut off talks with Discovery if the media company does not lower its asking price.
ZDF’s head of advertising sales, Hans-Joachim Strauch, has now questioned the value of signing a deal. When asked whether ZDF will reach an agreement he told German industry magazine W&V: “I don’t hope so as Olympia will now be mercilessly commercialised. The rights owner wanted to have twice as much money and Discovery must now find ways to capitalise on this.”
US media and entertainment company Discovery last week sealed its eighth sublicensing deal for Olympic Games rights in Europe through an agreement with Hungarian public-service broadcaster MTVA. The deal between Discovery and MTVA relates to the 2018 and 2022 winter Olympic Games, along with the summer editions of the multi-sport showpiece in 2020 and 2024.
Discovery’s partnership with the International Olympic Committee in June 2015 secured the company exclusive multimedia rights across 50 countries and territories in Europe for the 2018-2024 Olympic Games cycle.
Discovery has concluded eight Olympic Games sublicensing agreements, with the MTVA contract following partnership deals with national broadcasters in Austria (ORF), Croatia (HRT), the Czech Republic (Česká Televize), Finland (YLE), Ireland (RTÉ), the Netherlands (NOS) and UK (BBC).
Stating his belief the Discovery deal will “really damage sports,” Strauch added that Discovery must “fall flat on its face, so that next time we’ll have the chance to be considered again.”