The upcoming media rights auction for the Bundesliga is a critical juncture for clubs seeking increased revenue. With the auction set to begin soon, Bayern Munich’s CEO emphasizes the need to compete with the Premier League’s lucrative deals. The auction, covering rights from 2025/26 to 2028/29, follows a recent arbitration ruling, raising hopes for better financial outcomes. While current revenues are around 1.1 billion euros annually, the potential for growth exists, although challenges like legal disputes remain.
High Stakes in Bundesliga Media Rights Auction
With significant demands, soaring expectations, and lingering uncertainties, the upcoming allocation of media rights for the German Bundesliga is poised to be a pivotal moment for clubs. As the auction approaches, teams are eager for increased revenue. Bayern Munich’s CEO, Jan-Christian Dreesen, has openly expressed his aspirations, drawing comparisons to the lucrative deals secured by the Premier League.
Impact of Recent Developments on Revenue Potential
The anticipation is building as the Bundesliga prepares to kick off the auction process on Monday at a confidential location. Dreesen, who has stepped down from his role as DFL president, emphasized the importance of this auction. He noted, “In terms of TV revenue, the Premier League has simply left us behind,” highlighting the need for the Bundesliga to elevate its financial standing.
The auction will encompass media rights for the four seasons spanning from 2025/26 to 2028/29 and will conclude on December 4. The results will be disclosed to the 36 professional clubs the following day. The restart of this negotiation process follows a recent arbitration ruling regarding a dispute between the DFL and streaming service DAZN, which has left clubs hopeful for a more stable financial future.
As teams reflect on the previous auction, many are optimistic that they could emerge victorious this time around. One of the key packages up for grabs includes Saturday afternoon matches, Friday night games, and relegation playoffs, totaling 196 matches per season. DAZN’s initial bid, touted as the most lucrative at 400 million euros per season, was rejected, leading to their appeal to the arbitration court. Meanwhile, Sky reportedly secured package B with a lower offer of 320 million euros per season.
The DFL’s decision to restart the auction may ultimately favor the clubs, as the landscape has shifted to their advantage. While initial fears of declining revenue loomed, the current situation presents an opportunity for financial gains. Clubs currently receive around 1.1 billion euros annually, plus an additional 250 million euros from international deals, but a surge in total revenue is now within reach.
However, the Bundesliga is still a distance behind the Premier League’s staggering two billion euros in national rights and two billion euros internationally. Yet, with both DAZN and Sky aware of each other’s previous bids, the DFL is likely to see competitive offers from both parties, along with potentially other interested bidders.
Despite this promising outlook, challenges remain. Legal actions related to the arbitration ruling could still pose a threat, particularly from Sky, which had previously held rights to many of the matches.
As the auction looms, fans remain uncertain about the number of subscriptions they may need and their associated costs. One notable change is the elimination of the “No-Single-Buyer-Rule,” which could allow a single entity to acquire all the rights, thereby simplifying subscription access for viewers.