After hosting just 29 matches of the 14th edition of the Indian Premier League (IPL 2021), the Board of Control for Cricket in India (BCCI) was forced to postpone the cash-rich league for an indefinite period of time.
The BCCI and the IPL governing council took the decision after there were reports of a potential bio breach and a number of players and support staff testing positive for the deadly virus.
Though the tournament has been postponed indefinitely, the apex body will be losing almost half of broadcast and sponsorship money for stopping the league mid-way. The BCCI can incur the loss of a whopping INR 2000 crore due to the same.
A total of 60 matches are played in a single IPL season and this means that the official broadcaster, Star Sports, pays a stunning INR 54.5 crore to the apex board for every single match.
Since, only 29 matches were played, Star Sports will just INR 1580 crores to the BCCI. Similarly, title sponsors, VIVO, who pay INR 44 crore for the entire tournament, will now pay half of the amount.
Furthermore, associate sponsors including Unacademy, Dream11, CRED, Upstox, and Tata Motors, who pay in the range of INR 120 crore each, are likely to pay only half of the amount.
“We would be losing anything between Rs 2000 to Rs 2500 crore for the midway postponement of this season. I would say something in the range of Rs 2200 crore will be closer to accurate estimation,” a senior official told TOI.
“Slash all the payments by half or a bit less and you will be reaching a loss in the range of 2200 crore. The actual losses could be much more but this is a back of the hand calculation for the season,” he added.
“The loss incurred by the BCCI is also expected to affect all the eight IPL franchises too. Every year, BCCI equally distributes some part of the revenue to all the eight franchises. It is difficult to say what kind of sponsorship and co-sponsorship money they earned this season as the economic climate has been pretty hostile,” he concluded.