One of these is Movistar+, Telefónica’s pay television platform with the largest market share in Spain: 39.1% in 2022 According to a report prepared by National Markets and Competition Commission (CNMC). And that’s partly because television rights Most top-level sporting events, especially football.
Movistar+ was awarded Half the rights to LaLiga and the Champions League, Italian Serie A or German Bundesliga. Also, through A deal with OTT DaznIt also offers its customers five LaLiga matches and all Premier League matches per day. When it comes to football, there is everything. And now Saudi Arabia has the greatest control over this business, which is 100% owned by Telefónica.
This situation cannot go beyond anecdote. Many consequences of STC’s entry into the telecom industry If it were not for the fact that Saudi Arabia spent several years Blatantly stealing international football’s television signal in your local market. It is now moving from pirating football to becoming the main owner of its rights in Spain.
Diplomatic conflict with Qatar
To tell this story from the beginning, you need to go back. June 2017When most countries in the Red Sea and Persian Gulf cut off relations with their neighbor Qatar. With Saudi Arabia as leader and big brother, Egypt, Bahrain, United Arab Emirates, Yemen, Mauritania and the Saudi kingdom suspended diplomatic ties with the tiny emirate, which they accused of aiding terrorist organizations in particular. Al Qaeda, and the so-called Islamic State of Iraq. There are also accusations in the background. computer attacks Allegedly interfering with Vladimir Putin’s Russia.
Although the conflict never progressed beyond a purely diplomatic matter, it jeopardized the always fragile peace in the region. with border cuts and airspace restrictions. Qatari flagged planes by Saudi Arabia and its allies.
The discussion quickly turned into football. Barely a month after the severance of relations, six countries opposed to Qatar Fifa change of venue for the World Cup to be held in the Emirates later this year. At the time, it was said that they did this with an official letter, but FIFA has always denied receiving this letter. In any case, the crackdown had no effect.
Bein Sports’ role
Following the deterioration of relations with Qatar, Saudi Arabia was left in a conflicting position regarding football. For years, Bein Sports It is the person who controls the television rights of the major leagues in the region called MENA (Middle East and North Africa). And Bein is by no means an independent or apolitical producer. owns it Nasser Al-KhelaifiIn addition to being the owner of PSG, he also works for the Emir of Qatar. Tamim Al-Thani.
Bein Sports, one of the world’s largest television rights agents in many markets, purchases these exclusive licenses through auctions of the most important competitions (World Cup, Champions, LaLiga, Premier, Ligue 1…) and then makes distribution agreements in the countries where it is tendered. He does the same thing for other sports. Formula 1 and NFLIt has a privileged location in the region.
But Saudi Arabia would not seek a deal with a production company closely linked to the government of a country it (in effect) declared itself an enemy of. Bein emissions are banned) and would not remain without offering its citizens the best football games on the planet.
BeoutQ is a clear mockery of Qatar
The solution adopted by the Saudi kingdom was this: hack the signal Bein produces for Qatar and offers it in their own country. It’s that simple. So, in August 2017, he launched a channel called Saudi Arabia. BeoutQ (Can be translated as “get out of here, Qatar”, in a clear and ironic reference to Bein and Qatar).
The Qatari production company immediately realized that its signal had been stolen and that it was done via satellite. arablesatIt is directly linked to the Saudi dictatorship. Bein pressures FIFA to take action against Saudi Arabia Russia World Cup 2018The Saudi national team participated and even played the opening match. FIFA’s response was to appoint a independent investigation In mid-2019, he confirmed that BeoutQ had indeed hacked the Qatar signal.
It should not be forgotten that when the RFEF reached an agreement with Saudi Arabia to hold the Super Cup there, LaLiga President Javier Tebas expressed his discomfort a few months after learning the result of the investigation commissioned by FIFA. Drawing attention to this contradiction: “It is such a country that Causes us to lose 55 million euros through piracy“.
Already in January 2019, FIFA, UEFA, AFC (Asian confederation), LaLiga, Premier League and Bundesliga They demanded that Saudi Arabia stop BeoutQ emissions. While the Saudi regime did not listen to the complaints coming to it from different authorities for months, the issue was being arbitrated in international organizations with a long bureaucracy that benefited from the fact that piracy remained active. What could they possibly lose? Nothing. Until that changed.
Purchase of Newcastle
Sportswear entrepreneur at the beginning of 2020 Mike Ashley He started looking for a buyer for Newcastle United. The Saudi dictatorship had been trying to take ownership of a football club for some time. major leaguesespecially from the Premier League and reached economic agreement With Mike Ashley. However, this was not enough given the Premier League system. Requires authorization from the league itself this kind of operation. And it almost always is; this is usually a mere formalism, but this case deserved an exception.
Officially it was the Saudi consortium that withdrew the offer, but what actually happened is Prime Minister did not allow share transfer To a country that hacks its signal and thus harms Bein, one of its best partners with whom it is currently negotiating. renew contract Use of television rights in the MENA region. The message he received from England was clear: If you want to get into our business, you have to stop hacking your own business..
end of dispute
While this was happening, Qatar and Saudi Arabia were putting their differences aside with the encouragement of Donald Trump. US presidentIt is an ally of both countries. Diplomacy worked, and in January 2021, the two countries, along with the United Arab Emirates, Bahrain, Kuwait and Oman, reopened their borders and unblocked their airspace.
However, the hack continued for several months. Saudi Arabia finally announced it would do so in October 2021. turn off pirated broadcasts. Around the same time, the Saudi dictatorship returned to the fray with an attempt to buy Newcastle. And this time, the Premier League approved the operation.
The last remaining part of the dispute was litigation, which was pursued by both countries. World Trade Organization due to the signal being stolen during this quad. Just over a year ago, Qatar reported to the competent WTO body: Stopped its actions against Saudi Arabia for signal hacking. Peace here and victory later.
And now we invest in football with full commitment Billions of dollars in transfers and salaries of big stars to fuel football leaguesSaudi Arabia is also entering fully into the TV rights business by purchasing 9.9% of Telefónica’s share capital. Who would say this…