International Cricket Council (ICC), the International Cricket Council’s all-powerful Finance & Commercial Affairs Committee (F&CA), in a landmark move, has proposed a new revenue-sharing model in which the BCCI is likely to pocket 37% of ICC’s revenue from the 2024-2027 cycle.
This will enhance India’s standing furthermore in the ICC as previously, it was getting 22.8% share from the revenue pool, in the previous cycle which ran from 2016-2023. During that period, the Indian cricket board pocketed 405 million USD.
The ICC has steadfastly believed that the Indian market alone contributes to more than 75% of the global body’s revenue.
The sale of media rights for the upcoming 2024-2027 cycle has disproved the theory and instead underlined how India’s contribution is even larger than perceived.
The India Market Alone Fetched $3.04 Billion In Media Rights For ICC- Report
Disney Star won both the digital and TV rights for the cycle and later signed a licensing agreement with Zee for the TV rights. The agreement enables Zee to broadcast ICC men’s and U-19 events falling in the 2024-2027 cycle.
“For the first time the ICC decided to sell the rights territory-wise. In that, the India market alone fetched $3.04 billion. By ICC’s own “75% theory”, this $3.04 billion should be 75% of all their global revenues right? But do you think the rest of the world, collectively, is contributing 25%?” report said.
The Australian rights are believed to have been sold for approximately US$60m for four years. In UK and Europe, ICC closed an eight-year deal with broadcaster Sky instead of four years, as reports suggested that ICC wasn’t getting anything in the four-year deal.
The rest of the world, all put together, is not bringing even US$500m to the table.
“That means the Indian market alone is contributing 88 to 90% of ICC’s revenues. You go asking around in the industry and those who run the finances of the game will tell you — there was never any Big 3. There’s always been only Big 1.
Look at the amount coming in just for the media rights sold for the Indian market for 2024-2027 cycle. The number is humongous and is clearly filling up ICC coffers considerably. There will be two T20 World Cups, one Champions Trophy and one 50-over World Cup in the next cycle. Plenty of big-ticket tournaments will be played,” industry sources tracking developments said.
Under the proposed revenue share of 37%, BCCI should earn close to Rs 10,000 crore from ICC’s revenue share for the next cycle.
Also the report suggested that BCCI is likely to ask the ICC to deduct Rs 955 crore – 21.84% tax surcharge on ICC’s broadcast revenue from the World Cup – from BCCI’s revenue share of the current cycle. The tax amount deducted will in a way be compensated from the gains of the 2024-2027 cycle.
“How can the government be asked to bend its rules? Even in 2016, during the T20 World Cup in India, a similar request was turned down by the Indian government so there was no point going that way again,” added the source.