Earlier this year, Coupang Play digitally livestreamed all matches of the 2023 Asian Cup in Qatar and saw a significant increase in sign-ups. (Image courtesy of Coupang)
SEOUL, Mar. 2 (Korea Bizwire) – The online streaming service industry is setting its sights on sports as the next major content draw, pouring significant investments into securing exclusive broadcasting rights.
According to a recent report published by MezzoMedia, a digital marketing subsidiary of CJ ENM, this strategic shift aims to alleviate the financial pressures from escalating content production costs during the pandemic and to attract and retain a loyal fanbase of sports viewers.
Netflix has made a landmark deal by acquiring the exclusive broadcasting rights for World Wrestling Entertainment (WWE)’s popular program RAW for a decade starting from 2025, with a contract valued at approximately 6.7 trillion won.
This marks the largest sports content deal in Netflix’s history.
Tving, another major player, has secured the rights to broadcast KBO League baseball games for a three-year period starting from 2024, with an annual budget of 40 billion won.
Tving plans to differentiate its service by operating team-specific channels, enhancing the viewing experience, and introducing unique features such as live chat “Tving Talk” and a “Time Machine” function for replaying missed moments.
The online streaming service industry is setting its sights on sports as the next major content draw, pouring significant investments into securing exclusive broadcasting rights. (Image courtesy of MezzoMedia)
The KBO office has noted an increase in the number of fans watching professional baseball on various mobile platforms rather than traditional TV or IPTV, leading to a preference for Tving’s more open platform approach.
Coupang Play has secured exclusive broadcasting rights for the German Bundesliga for four years starting from the second half of 2024, with an investment of approximately 35 billion won.
The platform already dominates the football category with exclusive rights to multiple professional football leagues and competitions including the Asian Cup, K League, Spain’s La Liga, and France’s Ligue 1.
Coupang Play also recorded its highest-ever monthly active users (MAU) of 8 million in January, following the live broadcast of the 2023 Qatar Asian Cup.
Apple TV has also made significant inroads by acquiring exclusive streaming rights for Major League Soccer (MLS) in the United States, capitalizing on the “Messi effect” to great success.
MezzoMedia predicts a challenging landscape for streaming platforms as the market becomes increasingly saturated and subscriber acquisition grows more difficult.
In response, platforms are actively seeking new growth opportunities and diversifying revenue models. “The need to create new growth momentum is pressing, and there’s a concerted effort to find proactive solutions.
Compared to the unpredictable success of original content, the competition for exclusive sports broadcasting rights, with its stable content supply and guaranteed viewership, is expected to continue,” MezzoMedia added.
M. H. Lee (mhlee@koreabizwire.com)
