As Sky, owned by Comcast, takes early steps to secure its F1 media rights in the U.K. and Italy, Apple may encounter a more competitive journey in broadening its Formula One agreement beyond the U.S. Here are the details.
Apple has been clear about its intention to expand its F1 streaming rights beyond the U.S. Earlier this month, in advance of the Miami GP, Apple’s SVP of Services and Health, Eddy Cue, spoke to the media regarding, among other topics, the company’s increasing participation in the sport. As reported by Reuters, Cue commented, “The sport isn’t licensed globally. Do I wish for us to grow into additional areas and markets? Absolutely. But beginning in the U.S., which is a significant market for us, and being able to build from that point is definitely the appropriate approach. That’s our current focus. The simplest way for us to continue to expand is by ensuring we turn this into a major success. Then, naturally, it would be fantastic to broaden it.”
Now, as Reuters highlighted, Sky has “reached an agreement to extend its F1 media rights contract until 2034 in the U.K. and 2032 in Italy for a premium price of one billion pounds ($1.34 billion),” noting that the U.K. contract was finalized “prior to its original expiration date in 2029.” This indicates that if Apple had anticipated securing F1 media rights in either region, it will now have to wait several years for another opportunity.
This could also signify a challenging path for Apple in other areas, as broadcasters may also seek to safeguard sports rights that, ironically, seem to be increasing in value partly due to the attention Apple has drawn to the sport. For context, Formula One, owned by Liberty Media, does not market its media rights as a single global package. Instead, it licenses them market by market, typically through multi-year agreements that can encompass traditional television, streaming, or both. This means Apple can acquire rights in one nation, as it has done in the U.S., without automatically receiving access to the same races in other locations.
To read the complete report from Reuters, follow this link.