Tim and Dazn, the agreement renewed for another five years: the figures
Tim and Dazn have renewed the agreement relating to Serie A. According to reliable sources, on December 23rd, the telephone company and the streaming platform have entered into a new agreement to keep football on TimVision for the next five years. The contract will be valid for the seasons between the 2024/25 and 2028/29 championships, where the television rights have recently been assigned to Dazn (and, to a lesser extent, Sky). Il Corriere della Sera writes it.
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When asked for comment, Tim preferred not to make a statement regarding the indiscretion. The new agreement constitutes an extension of the existing one, but is the result of prolonged negotiations between the two parties and an effort significant to guarantee the economic sustainability of the collaboration between the two companies.
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According to the new scheme, the company led by Pietro Labriola should pay Dazn less than 50 million euros each year, for a total of approximately 250 million over the next five years. A variable amount would be added to this minimum guaranteed amount, mainly linked to subscription performance. In any case, the amount would be significantly lower than the 340 million (plus bonuses) per season which, according to information that has never been denied, Tim was obliged to pay to Dazn in the original version of the contract. This financial burden, exceeding 1.2 billion spread over three years, has caused financial problems for Telecom Italia, problems that are expected that the renegotiated agreement definitively resolves.
It should be noted that this payment was also related to an exclusivity granted to Tim, which would have prevented it from distributing Dazn's football to other telecommunications operators. This exclusivity, however, was soon overturned by the Guarantor Authority of Competition and the Market (Antitrust), which judged it to be harmful to competition. The intervention of the Antitrust led to a first renegotiation between Tim and Dazn, allowing the latter, in August 2022, to stipulate an agreement with Sky valid until the 2023/24 season.
The confirmation of the agreement between Tim and Dazn follows the auction for the television rights of Serie A, which saw the assignment to Dazn of 10 matches per round, seven exclusively and three co-exclusive with Sky, for a total of five years. This confirms the current structure of the platform led by Stefano Azzi, who obtained the rights with an average offer of 700 million per season, for a total investment of 3.5 billion. To this fixed figure is added a revenue sharing mechanism with the clubs which is triggered when a specific threshold is exceeded.
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