According to industry reports, MultiChoice, the operator of DStv, has revealed that it turned down an offer from eMedia to broadcast the Springbok rugby test matches against Ireland on Openview, citing that the offer was not financially viable.
However, eMedia contradicted this statement by declaring that they had indeed made a substantial financial offer to MultiChoice for the rights to broadcast the Irish rugby Pretoria and Durban test matches on Openview, which was inexplicably rejected by MultiChoice.
The dispute between the two companies stems from a Competition Tribunal interdict that prevents MultiChoice from imposing specific restrictions on Openview and eMedia in sub-licensing agreements with the South African Broadcasting Corporation (SABC).
This disagreement originated from a conflict over Rugby and Cricket World Cup sub-licensing deals, where the SABC was prohibited from airing matches on its Openview channels due to agreements with MultiChoice. eMedia took legal action against MultiChoice, arguing that these constraints were anti-competitive.
The South African Rugby Union (Saru) expressed concerns about eMedia’s actions, stating that they could significantly reduce the fees received from selling broadcasting rights and have a detrimental impact on the sport.
eMedia fired back, highlighting the crucial role of the SABC in supporting their argument against the anti-competitive restrictions. The SABC’s actions have been instrumental in this dispute, including filing complaints against MultiChoice and SuperSport’s conduct in sub-licensing free-to-air rights for sporting events.
Following legal proceedings, MultiChoice/SuperSport gave an undertaking to allow the SABC to broadcast the rugby on Openview without additional costs. However, the SABC ultimately decided to cancel its agreement with MultiChoice/SuperSport, which resulted in the rugby matches not being aired on their channels.
On the other hand, the SABC stated that legal action in the Competition Appeal Court led to the cancellation of the sub-licensing deal with MultiChoice.
The ongoing dispute between MultiChoice, eMedia, and the SABC has raised concerns about the future of sports broadcasting rights and their broader impact on the sport in South Africa. The potential risks involved in this dispute are significant and cannot be overlooked.
