Mumbai: The next cycle of the cash-rich T20 League Indian Premier League (IPL) media rights is expected to touch Rs 50,000-60,000 crore during the period 2023-2028, said Elara Capital in a note on June 7.

In a statement, Elara Capital said, “Cricket may continue to enjoy such sheer dominance in India, medium-term, propped by large-lucrative properties such as the Indian Premier League (IPL). Thus, expect IPL renewal to underpin media rights growth in India, medium-term.”

The value of digital rights is expected to double. The BCCI (Board of Control for Cricket in India) has kept the base price for digital rights at Rs 33 crore a game. The TV rights value is expected to rise by 40-50 per cent. The base price for television is Rs 49 crore a match.

"Expect digital to see premiums of 100 per cent over the current base, while TV premiums of 40 per cent. Based on these premiums, the share of digital might rise to 50 per cent in IPL media rights. We anticipate 6 per cent and 35 per cent revenue CAGR in FY23E-28E for TV and digital, respectively," noted the brokerage business.

According to Elara, one-third of Star’s revenue is IPL-led (TV + digital). “If Star wins IPL rights, this revenue contribution will augment to 40 per cent as digital growth will accelerate. As per our estimates, 70 per cent of Star India’s advertising-based video on demand revenue is IPL-led, with subscription video on demand revenue largely following suit," the brokerage firm added.

The report also noted that TV viewership growth will be a challenge and growth will be in the single digits of 3-4 per cent. However, digital will fare much better.