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Report: TEN aced as Seven serves up Australian Open for another 5 years

Seven Network has extended its deal for the Australian Open by 5 years, thwarting TEN's hopes to bid for the rights.

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australian-openThere are reports today that the Seven Network has extended its deal for the Australian Open by another 5 years, in a deal worth about $40m a year.

The Financial Review reports Seven recently moved to pre-empt an open bidding process for the broadcast rights by offering Tennis Australia an extension to its $21 million annual deal. Its exclusive negotiating period runs until September 30.

But the move has shut out the TEN Network, which was keen to bid aggressively for the rights.

Last week TEN CEO  Hamish McLennan said Tennis Australia would be “mad” not to put the rights to an open auction.

“It would be scandalous if Tennis Australia sold its television rights without conducting an open tender,” a spokesman also told News Limited.

“Victorian taxpayers have pumped hundreds of millions of dollars into facilities used by Tennis Australia.

“Taxpayers have the right to expect Tennis Australia to conduct an open, transparent negotiation process, particularly given the record prices the AFL, NRL and Cricket Australia have secured for their television rights recently.”

The Australian Open is seen as a strategic acquisition given its huge public interest and its January play-out, directly before the start of the TV ratings year.

After missing out on international cricket rights, TEN was hoping to nab the tennis but it will have to take solace in the Big Bash and Sochi Winter Olympics. 

Securing the Rio Olympics will no doubt become the next mission…

26 Responses

  1. @ hampster. people have always criticised sporting bodies for ‘selling out’ when they do everything they can for the highest bid, now seems they are also criticised for doing the opposite.

  2. Well done Seven and Tennis Australia.

    Tennis Australia now has a considerable increase in rights fee, the comfort that their event will continue to be treated well, marketed strongly and perform at the highest level.

    I’m sorry but why should TA consider Ten could offer that…………money is not everything.

    TA would have jeopardised their game, reputation and long standing trust with fans – maybe it would have worked for a few extra dollars but what if it did not ?

    The scorecard for Seven and Ten speak volumes in their own right.

  3. Wow. Stupid of TA and you have to ask the question- what does ten focus on now. They have missed out on AFL NRL cricket and tennis How do they attract viewers now. How do they attract advertisers. It’s very sad but I honestly can’t see a future them really!!! How can a network make money when there shows are rating so poorly.

  6. Just shows how dumb/stupid! Tennis Australia are, they could’ve got much more money, possibly around $100m or more a year. They should’ve done the same as what the NRL, AFL and Cricket Australia did, by putting it in the open market.
    And a minor blame goes to Seven, who are the most selfish network, and doing anything to block any other offers quietly.

  8. @Craig
    Ten were going to and TA extends the deal with 7. They were going to pay $45-50million annually but Hamish says “Tennis Australia will be mad not to go to an open market” and they didn’t go with what Hamish said

  11. Tennis Australia has been heavily criticised because of not opening to the open market from Ten Network Holdings, they can blame TA for this not Ten

  12. Damn. That means more Bruce McAvaney and Johanna Griggs waffling on about nothing at all.

    And more shots of reality TV contestants and soap stars in the VIP seats promoting their shows.

    Can’t wait to hear Jim Courier rave about the next season of My Kitchen Rules while trying to watch a thrilling tennis match.

  13. THis is great news 7 Sport has been doing great with Tennis in recent years. Utilsing 7Two and 7 is the way to go. I do wish that they used 7Mate but hey at least its Live around the nation on both of its channels or at least on one of them nationwide. I think when the analogue signal is switched off i think then 7 will switch majority of its sports to 7Mate because they will not have any excuse not to. As far as TEN is concerned well this just proves my theory as to why they cant get a big time sport event. The sins of the recent past has negatively effected the Network’s Reputation when it comes to sports. We can all blame Lachlan. Sometimes money is not enough. Also Seven made a clever move they obviously were paying attention to how the CA negotiations went, so they decided to preempt TEN and go straight to TA. The big bash league will be on TEN, but if they decide to only show it Live on eastern states on TEN then hopefully they have the sense to put it Live on ONE for the rest of us.

  14. The cricket has 30 days of tests during the day (rain permitting) plus afternoons and nights of ODIs and Twenty Twenty that rate over 1.4m.

    The Australian Open only runs for two weeks and only matches featuring popular Australians in the first week plus the big finals rate large. The lead up tournaments rate 100k on 72. The main benefit of the Tennis is that it finishes up 1-2 weeks before the ratings season start and is an excellent platform for launching a lineup.

  15. If Ten gets the rights to the Summer games there coverage of the @l^mp!cs will look pretty much the same as Nine’s. It is the need to get a mass FTA audience that determines the type of coverage.

    Foxtel can do things differently because it isn’t rely on advertising revenue (in fact they didn’t rely on revenue at all but gave the London games away as a promotional tool).

    There is no point in Ten buying the BBL to show it on One. They need viewers for Ten and to recoup as much of the $20m p.a. as possible.

  17. At least Ten are forcing their competitors to pay more, presumably meaning they’ll have a bit less to spend in other areas like programming or marketing.

  20. Some sources say different things like this one
    brisbanetimes.com.au/entertainment/tv-and-radio/the-balls-in-tennis-court-20130612-2o2r0.html

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