Newsletter Edition 17 - August 2020


Everyone wins with broadcasting rights held by clubs

The Provisional Measure (MP 984/2020), which gives home clubs the rights to broadcast a soccer game is good for the clubs, the fans, and the economy agreed Guilherme Bellintani, president of Esporte Clube Bahia and Alexandre Rangel, partner of Ernst & Young, in a webinar promoted by ABPI on July 30th. The debate, under the theme “Soccer will no longer be seen the same way” was organized by the Sports Law Study Committee and was mediated by coordinators Fernanda Magalhães and João Marcos Gebara.

The debaters agreed that the current monopoly model of transmission has lagged. The entry of new players in the transmission market, with streaming platforms and the evolution of the internet, created a new scenario and demanded a renewal in the way of commercializing the broadcasting of matches. For Bellintani, if the MP will be good for the strongest clubs, it will also favor the smaller ones, who, as principals of their games, will have a more valued asset to negotiate the broadcasting. “If the MP is confirmed, all clubs will take advantage of the new legislation”, he stated.

Rangel sees the strengthening of football as entertainment within the MP and foresees radical changes in the system. “The world has changed, today there is a huge competition for live sports. Domestic leisure will have prevalence and live sport is suitable for that”, he said. He believes that the changes are part of a gradual and inexorable process, such as what happened in the American League, which made clubs organize themselves into blocks. “The MP will bring much more money for everyone”, he affirmed, recalling that image rights are the biggest source of revenue for clubs, representing around 40% to 50% of the revenue.