Liberty Media wants to increase the price of broadcasting Formula 1 in the United States
Liberty Media is seeking a new broadcaster for Formula 1 in the United States. The renewed interest of Americans in the premier category is driving up prices, while ESPN wants to retain the rights and Netflix and Amazon are also positioning themselves.
Formula 1 will be expensive for anyone who wants to broadcast it in the United States. Liberty Media, the group that owns F1, is looking for a new broadcaster in the land of Uncle Sam.
“This year, we are on ESPN and next year, we are looking for a broadcasting partner,” explains Greg Maffei, the president of Liberty Media. “We have a lot of interests. ESPN has been an excellent partner. They made a very good deal because we gained popularity and they also benefited from it.”
Formula 1 is indeed experiencing a skyrocketing development in the United States, with Grand Prix races being increasingly watched (over a million viewers last year for certain races and a record of 2.6 million this year for the Miami Grand Prix). It is only logical that broadcasting prices will increase.
While ESPN, which had renewed its contract for three years in 2019, was paying $5 million per year until now, Liberty Media is now expecting $100 million to sell its rights. A colossal amount that does not, however, seem to deter the American channel.
Burke Magnus, the head of ESPN, which is owned by Disney, recently admitted that the talks for an extension were very positive after submitting an offer of around 70 million dollars.
Netflix and Amazon lying in wait
But ESPN must face two fierce competitors: Netflix and Amazon. The former already has an agreement with Formula 1 for the production of Drive To Survive, the series that has boosted the sport’s popularity, especially in the United States. Moreover, Netflix would like to modify its subscription formula by allowing its users to watch live events.
Amazon, on the other hand, has already moved into live sports broadcasting. The platform has acquired the rights to the Ligue 1 and certain matches of Roland-Garros in France, for example. With Formula 1, Jeff Bezos’ company aims to establish itself as one of the world leaders in sports.
Liberty Media is keeping the suspense alive and currently letting the bids rise in hopes of obtaining the expected 100 million dollars.
