Media giant Organizacoes Globo is trying to cut its TV rights costs for the 2006 World Cup soccer finals, to be held in Germany.
Globo bought the exclusive TV rights in 1998 for $240 million, but sports rights values have dramatically decreased since then and it now wants to give up the agreement.
“I would say the rights are not worth more than $50 million today,” said Marcelo Campos Pinto, executive director of Globo sports division Globo Esportes.
Globo supports negotiations between the Iberoamerican Television Assn. (OTI) and Infront, which negotiates the rights for the Cup’s organizer, FIFA, to return to the system in place until 1996, in which OTI bought the rights and resold them to its broadcast members in 20 Latin American countries.
TV Globo and pay TV channel Sportv exclusively showed the 2002 Cup finals in Japan and South Korea, grabbing some of the highest audiences in its history. But it did not recover its $220 million investment to buy the exclusive rights.