OTT Leading Online Sports Broadcasts with Monetization
Coupang Play and TVING Exclusively Live Stream National Team Matches
Experts Say "Applying Universal Viewing Rights to OTT Immediately Is Difficult"
Son Heung-min is celebrating after scoring a goal in the national team match against Chile on the 6th. [Image source=Yonhap News]
[Asia Economy Intern Reporter Kim Gun-chan] As sports game broadcasts, which anyone can watch, become available on paid online OTT (Over The Top ? services that provide various videos such as movies and dramas over the internet), concerns have arisen that this might infringe on the so-called universal viewing rights. If OTT exclusive broadcasting continues, some viewers who cannot make payments will not be able to watch the games at all.
Experts say that since games can still be watched through various broadcasting channels such as terrestrial TV, it is not currently a problem, but if exclusive broadcasting continues, there could be controversies over viewing rights. Universal viewing rights refer to the right of the general public to watch major sports games and tournaments of national interest through free broadcasters, as stipulated in the Broadcasting Act revised in 2007.
According to the Wall Street Journal (WSJ) on the 14th (local time), Apple has signed an exclusive broadcasting contract with Major League Soccer (MLS) in the United States to broadcast all games from next year until 2032. Apple plans to broadcast all MLS games to subscribers of its OTT service Apple TV Plus (+).
Although some games can be watched for free even by those who are not Apple TV+ subscribers, ultimately, MLS viewers must subscribe to Apple TV and pay to watch the games properly. According to Bloomberg, 15 companies including Amazon, Warner Bros., Discovery, and Paramount participated in the fierce competition for the broadcasting rights. Unlike in the past when games could only be watched at home or fixed locations, OTT services that allow watching anytime, anywhere, and even desired scenes have gained competitiveness in the market.
Earlier, Amazon also signed a contract last year to broadcast 15 games per season of the National Football League (NFL) through its OTT Prime Video. It also secured the 10-year exclusive broadcasting rights for the Thursday night game, "Thursday Night Football." Considering that sports league broadcasting rights are usually sold separately by country or region, this is seen as unusual.
Amazon is not the only company entering the sports broadcasting rights market. SPOTV NOW, an OTT operated by Eclat Entertainment’s SPOTV, has secured exclusive live broadcasting rights for the English Premier League (EPL), UEFA Champions League, and others since the 2018-2019 season. The monthly subscription fee for SPOTV ranges from 7,900 KRW to 14,900 KRW depending on the product. This is different from the past when anyone could watch EPL Manchester United’s Park Ji-sung games through portal live broadcasts.
Not only overseas sports games but also the broadcasting situation for the Korean national team games is not much different. Four Korean men’s soccer national team A matches held this month were broadcast live online through Coupang Play. Coupang Play, which has an official partnership with the Korea Football Association, holds exclusive live broadcasting rights for all national team games. In February, it exclusively broadcasted the men’s basketball World Cup qualifiers, and in March, the Davis Cup final qualifiers, known as the "Tennis World Cup," for the tennis national team. The monthly subscription fee for Coupang Play is 4,900 KRW.
Son Heung-min, a player active in Tottenham in the English Premier League (EPL) [Image source=Yonhap News]
Meanwhile, TVING, operated by CJ ENM, has also entered the competition to secure online broadcasting rights for national team games. TVING signed a broadcasting rights contract with the Asian Football Confederation (AFC) in 2020, securing exclusive broadcasting rights for four years of national team games organized by the AFC. The Asian qualifiers for the Qatar World Cup, which ended in March, could only be watched through TVING. Starting from the 18th of this month, TVING plans to exclusively broadcast the FINA World Championships, where male and female swimming national representatives including Hwang Sun-woo will participate. The monthly subscription fee for TVING ranges from 7,900 KRW to 13,900 KRW depending on the product.
Given this situation, there are opinions that universal viewing rights should also apply to OTT. There are concerns that exclusive broadcasting of certain games and monetization could lead to deprivation of viewing rights.
Experts say that the concept of viewing rights has changed and since games can still be watched through comprehensive programming channels (general programming channels), it is not a big problem. However, if games are exclusively broadcast through paid OTT services, controversies over universal viewing rights could arise.
Sports commentator Shin Dong-hyuk emphasized, "Basically, it is right to pay to watch content," adding, "The media industry environment has changed since the concept of universal viewing rights first appeared, so it is meaningless to argue about it now."
Kwon Oh-sang, director of the Media Future Research Institute, said, "Currently, since games are broadcast on general programming channels, discussions about universal viewing rights have not yet become full-fledged," adding, "If broadcasting is done only through OTT, it will be problematic."
Regarding legal amendments to guarantee viewing rights, he added, "OTT is legally a value-added communication service, not broadcasting," and "There have been ongoing discussions about whether to create a new law called the Audiovisual Services Act to include OTT in broadcasting, but it will take time."
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