If the terrorists intended to make a statement by their attack on the Sri Lankan team in Pakistan, they seem to have succeeded. It’s not just the cricket series in Pakistan that has been called off but the damage is being felt closer home.
The Indian Premier League (IPL) slated to begin in April is all set to be scrapped with Home Minister P Chidambaram asking the organisers to postpone IPL post the elections.
Chidambaram said, “Providing security for both the elections and IPL will be difficult. There will be a spillover effect and hence IPL will have to be postponed.”
However, postponing IPL beyond the elections may not be possible with BCCI sources pointing at the packed international schedule. This would make it difficult, as the players will be unavailable due to commitments in their home countries.
So, what are the revenue implications?
Well, the biggest loser may be Sony Entertainment Television who has bought the telecast rights for $1 billion over a ten year period and
80 per cent ad spots have already been booked for the tournament.
The franchisees are also expected to lose money since they have already signed deals with multiple sponsors. Besides, the players also stand to lose, as they will not receive their multi-million dollar fees and BCCI too would have to compensate Sony and the franchisees for their losses incurred.
Meanwhile, the media buying agencies are saying that they will have to think about alternate options for their clients if IPL fails to go through.
For the Indian Premier League, this latest attack has come as a major setback with recession making it already difficult to get the mega bucks from advertisers. BCCI’s hands would be full in trying to convince the government to allow the IPL to continue as per schedule.