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Next TV deal discussion 2028 -

Canard

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“In a wide ranging interview on the monday night footy show on channel 9 Vlandys and “Adbo made two things very clear about the PNG expansion strategy

1. It is based around the players having tax free status in order to allow them to earn mega millions over the period of a contract and essentially set them up for life.

2. The underlying economics is based on large numbers of the 18 million population buying TV subscriptions meaning that the future TV contracts will be much bigger.”

@perthred got this from an English forum

Remind me who was the person who said the future nrl png deal would be worth squat ?
There is only a few marquee players that will be offered $1M salaries. The rest may very well be tax free, but will be significantly less.

PNG population is ~10M

THERE IS NO MONEY IN TV for the bid.
 

nko11

Juniors
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743
There is only a few marquee players that will be offered $1M salaries. The rest may very well be tax free, but will be significantly less.

PNG population is ~10M

THERE IS NO MONEY IN TV for the bid.

Below articles posted in the PNG Expansion Thread. PNG operations of Digicel already bringing in $340 million in revenue. With an EBITDA of $160.5 million. That's no small amount - the NRL would be a large part of this too. Not to mention the Government throwing in Foreign aid to Digicel. I think at the absolute worst - PNG's NRL grant will be covered by the PNG TV Deal. But with that surprising high EBITDA figure, would not surprise me if it's higher than that.

The more details that come out, the more bullish I'm becoming from a financial standpoint of their sustainability. I wasn't always convinced - see final quoted post.

“Taxpayers will shoulder most of the financial risk in Telstra’s $US1.6 billion ($2.1 billion) purchase of Digicel Pacific, to ensure China does not take over the telecommunications network operating in six island countries neighbouring Australia.
The unprecedented deal involves Telstra contributing a modest $US270 million, with the government injecting more than $US1.33 billion ($1.8 billion) in debt and equity and providing other insurance to Australia’s largest telco.”



“The government will also insure Telstra for political risk on regulatory and tax issues, help with cash repatriation from Pacific islands and provide foreign exchange hedging for dividends and debt funding.”


“A source familiar with the deal expected that some of Australia’s foreign aid spending in PNG – estimated to reach almost $590 million in 2021-22 – would in future include a telecommunications component.”



Digicel’s investment in PNG has been generating significant returns: in the year to March 2019, PNG operations brought in revenue of more than US$340 million and made a contribution to group earnings (EBITDA) of $160.5 million. PNG’s contribution was worth 16.7% of total EBITDA and was the largest from a single market within the group. Revenue and profitability increased even as the company lost a half million mobile subscribers, which it says was the result of government policies requiring the registration of SIM cards.

The PNG operations have been making an increased contribution to Digicel’s profits, offsetting losses elsewhere in the group’s operations. More than 14% of the Digicel group’s revenue is counted in PNG kina. It’s regularly the largest or second-largest foreign currency in which the company deals.





Yeh they are going to love a png nrl team


Only way this would be a good business decision is if Aus/USA is going to be guaranteeing multiple billion dollars worth of investment. Pretty much have to underwrite the team for the next 50 years (would be fantastic for our crowd averages if they built a 50k stadium in Port Moresby though, tickets would have to be almost free though).

If I was the NRL I would be saying $3 Billion for a 30 year license for the team. Sounds like a lot, but Australia already spends $600 million on Foreign Aid to PNG per year. $100 million a year is nothing between the two countries for quite a bit of soft power diplomacy.
 
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Canard

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Below articles posted in the PNG Expansion Thread. PNG operations of Digicel already bringing in $340 million in revenue. With an EBIDTA of $160.5 million. That's no small amount - the NRL would be a large part of this too. Not to mention the Government throwing in Foreign aid to Digicel. I think at the absolute worst - PNG's NRL grant will be covered by the PNG TV Deal. But with that surprising high EBIDTA figure, would not surprise me if it's higher than that.

The more details that come out, the more bullish I'm becoming from a financial standpoint of their sustainability. I wasn't always convinced - see final quoted post.
So why is it zero dollars now?

By any measure the NRL is huge in PNG, and has been for decades.

Why aren't the NRL getting subs this season? Or next?
 

Perth Red

Post Whore
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70,820
Below articles posted in the PNG Expansion Thread. PNG operations of Digicel already bringing in $340 million in revenue. With an EBITDA of $160.5 million. That's no small amount - the NRL would be a large part of this too. Not to mention the Government throwing in Foreign aid to Digicel. I think at the absolute worst - PNG's NRL grant will be covered by the PNG TV Deal. But with that surprising high EBITDA figure, would not surprise me if it's higher than that.

The more details that come out, the more bullish I'm becoming from a financial standpoint of their sustainability. I wasn't always convinced - see final quoted post.
That's mobile phone subscriptions, not pay tv subscriptions lol
The current PNG tv deal is worth next to nothing. Why people think it will jump up massively because there is a PNG team I really dont know.
If you cant afford a pay tv subscription you arent going to find the money just because your team is now in the comp.
If PNG ever gets out of poverty and the masses have some level of disposable income then sure, but not much sign of that anytime soon.
 

Perth Red

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But how much of those phone subscriptions are driven by watching NRL and keeping up-to-date with NRL news, even at 10% that would be $38m worth of value.
That`s what poorer people would do when you don`t have access or can`t afford to own a television or it isn`t possible due to access issues.
Like I said before, there was a similar deal with Telstra. Telstra had a $25billion revenue and paid $20mill (0.1% of revenue) for the NRL rights. Do the maths of what that works out at for a $340mill revenue ($340k). Explains why NRL currently get diddly squat from Digicel.

Its a value add for a mobile phone provider, and as we saw with Telstra not really that valuable, Telstra were happy to drop it.
 

nko11

Juniors
Messages
743
So why is it zero dollars now?

By any measure the NRL is huge in PNG, and has been for decades.

Why aren't the NRL getting subs this season? Or next?

Is it zero dollars? I haven't actually seen any figures. Do we actually know when the last deal was signed?

Digicel was only purchased by Telstra on July 14th, 2022. And the entirety of Digicel Pacific in 2021 made a Revenue of $US223 million. So PNG alone has eclipsed this by $US117 million.

Data from GSMA Intelligence shows that there were 3.84 million cellular mobile connections in Papua New Guinea at the start of 2024.

GSMA Intelligence’s numbers indicate that mobile connections in Papua New Guinea were equivalent to 36.9 percent of the total population in January 2024.

The number of mobile connections in Papua New Guinea increased by 209 thousand (+5.8 percent) between the start of 2023 and the start of 2024.

Point being the market is growing rapidly and actually has solid amounts of Revenue and profit, with still plenty of room for growth.

That's mobile phone subscriptions, not pay tv subscriptions lol
The current PNG tv deal is worth next to nothing. Why people think it will jump up massively because there is a PNG team I really dont know.
If you cant afford a pay tv subscription you arent going to find the money just because your team is now in the comp.
If PNG ever gets out of poverty and the masses have some level of disposable income then sure, but not much sign of that anytime soon.
Yeah, I did realise that. Notice I said 'Digicel PNG Operations revenue', not 'Digicel PNG TV subscription revenue'.

The NRL would be an extremely effective tool for any incoming or existing mobile provider to take marketshare off Digicel. Offer free or substantially reduced subscription fees if you're with x provider. Similar to Optus and Optus Sports in Australia. If they offered a free subscription, Digicels marketshare would collapse overnight. This would be especially effective if this new competitor in the market is funded by China in 2035.

Saying all that, I don't think it will ever come to that. The Australian Government didn't gift Telstra $1.33 Billion to purchase Digicel Pacific for Telstra (Digicel Pacific) to lose the NRL rights. And unless they figure out a way to move landmasses, PNG is going to be very important to Australia geopolitically with or without China for next 100 years.

What does a PNG team offer that the NRL currently doesn't. Solidification of the market, the same thing a second Brisbane team has offered the NRL. Why have a team in Penrith, they all already watch the NRL anyway.
 

Trifili13

Juniors
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1,258
Sit back people and watch the dollars roll in. Remember, PVL said adding Perth and PNG will triple the ARL's 700m pa revenue. Those poor PNG people are going to get a big shock when they see their bill for streaming the NRL on their mobile.
 

Wb1234

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If the png tv deal is for one dollar that will be worth more than a Perth nrl team

Every article this week in wa has been bagging rugby league and how they don’t want an nrl team there

It’s only fan in politics (the wa premier) is distancing himself as far as he can in his support for a team
 

nko11

Juniors
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Sit back people and watch the dollars roll in. Remember, PVL said adding Perth and PNG will triple the ARL's 700m pa revenue. Those poor PNG people are going to get a big shock when they see their bill for streaming the NRL on their mobile.
Ah yes, PNG people are poor. So lets not do business in PNG, surely that will help grow their economy. The IPL starting up in India must have been terrible for their people, having to pay TV subscriptions.

In 2020 alone, it pumped around $6.7 billion into India's economy.

But Indians are richer, so it's different? No Indias GDP Per Capita is $2,481 vs PNG $2,958.
 
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Like I said before, there was a similar deal with Telstra. Telstra had a $25billion revenue and paid $20mill (0.1% of revenue) for the NRL rights.
Unlike Telstra however Digicel is probably the only way the majority on New Guineans have access to watching NRL, effectively a monopoly, Telstra certainly never had that and would have paid accordingly, but I take your point. I think the way of raising money from a poor country like PNG is to charge a small amount of money to a lot of people. Bit like Coca Cola etc.
 

AlwaysGreen

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If the png tv deal is for one dollar that will be worth more than a Perth nrl team

Every article this week in wa has been bagging rugby league and how they don’t want an nrl team there

It’s only fan in politics (the wa premier) is distancing himself as far as he can in his support for a team
Wtf has this got do with anything?

You being flustered by one poster showing you up like the fool you are has nothing to do with TV rights.

That said, every poster shows you up as a fool.
 

Canard

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Do you guys honestly think that mobile phone coverage is so vast and effective in PNG that it supports live video streaming?

Are you f**king high?
 

Canard

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Ah yes, PNG people are poor. So lets not do business in PNG, surely that will help grow their economy. The IPL starting up in India must have been terrible for their people, having to pay TV subscriptions.

In 2020 alone, it pumped around $6.7 billion into India's economy.

But Indians are richer, so it's different? No Indias GDP Per Capita is $2,481 vs PNG $2,958.
India has extreme poverty but a substantial middle class.

It's the fifth largest economy in the world and growing rapidly.

I repeat, why is the TV deal worth nothing now?
 
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Do you guys honestly think that mobile phone coverage is so vast and effective in PNG that it supports live video streaming?

Are you f**king high?
Be interesting to know, certainly they`ve got the "vast" part covered as I believe the majority of the country has phone coverage and they do rely on it given the poor road infrastructure.
 

Canard

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Be interesting to know, certainly they`ve got the "vast" part covered as I believe the majority of the country has phone coverage and they do rely on it given the poor road infrastructure.
It's extensive bro.


Screenshot_20250220_211532_Chrome.jpg
Some parts got 4G late last year!

 
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819
It's extensive bro.


View attachment 99052
Some parts got 4G late last year!

I did read that most of the country has coverage, now what that means in a sparsely populated country like PNG who knows. But the fact remains there are 4 million Digicel phone subscribers and as the quote above shows they are expanding their 4G network, Christ even Bougainville is getting it.
 
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