A streaming service appears to be in the works for Spain’s top soccer league, LaLiga. El Confidencial reported on Monday that the league and private equity firm CVC may launch a streaming service after making a deal last week.
With this new agreement in place, CVC will invest 2.7 billion euros ($3.18 billion) in the league. In exchange, CVC will receive 10% revenue and a 10% stake in a new company, which is responsible for LaLiga’s commercial decisions. As LaLiga looks for new ways to expand the business and bring in more revenue, a streaming service is in the lead, a source told El Confidencial.
According to one of El Confidencial’s sources, the streaming service could cost consumers around 13 euros (about 15 USD) per month. At that price, the service would only offer soccer coverage, which would make the service cheaper and more accessible to a wider audience. Currently, Telefonica’s Movistar offers a package with live soccer, cable, phone, and internet included, which consumers are currently subscribed to for up to 130 euros (about 150 USD) per month.
The launch of a LaLiga streaming service would affect the companies that already have the rights to soccer matches. Telefonica has rights through 2023, but the company already has a subleasing agreement in place with France’s Orange. France’s Orange will pay Telefonica to broadcast fixtures from the 2021-2022 season. Telefonica currently pays LaLiga 1 billion euros per season for streaming rights.
LaLiga and CVC have yet to announce any details about the streaming service, but it looks like the companies are still early in the planning process. More details will likely be available at a later date.