Flick pass for rugby as Foxtel TV deal goes sour

Rugby Australia has walked away from a Foxtel offer to broadcast Tests and Super Rugby in Australia.

Wallabies scoring in the Rugby Union World Cup 2019. Picture: Getty

Rugby union risks turning into a third-tier sport in Australia after Rugby Australia walked away from a Foxtel offer to broadcast Tests and Super Rugby in ­Australia.

Rugby will not have a TV broadcast deal with any major provider after talks between Foxtel and RA broke down after meeting in Japan following the World Cup.

RA is now believed to be in talks with Optus after Foxtel withdrew its offer for the rights.

The Australian understands the meeting was between RA chief executive Raelene Castle, RA chairman Cameron Clyne, Foxtel CEO Patrick Delany and other negotiators.

RA was offered a deal worth about $20m by Foxtel, which has had the rights for rugby in Australia for more than two decades.

While Optus has the rights to the English Premier League, it does not have broader sports or entertainment streaming services offered by the likes of Foxtel or its sports streamer Kayo.

It would also be unlikely that Wallabies games, outside those on anti-siphoning lists, would be sold to a free-to-air broadcaster under a deal with Optus. Currently, Foxtel sells some games to the Ten Network.

A spokesman for Foxtel declined to comment on the negotiations. A spokeswoman for Optus said the business did not comment on negotiations.

In 2015, the Australian Rugby Union announced rugby’s governing body, SANZAAR (South Africa, New Zealand, Australia and Argentina Rugby), had signed a $285m deal in what was a 148 per cent increase in revenue from the previous deal.

The five-year deal, which expires next year, saw Fox Sports retain Australian rights for Test matches played in Australia, New Zealand and South Africa, Wallabies domestic Tests, New Zealand and South Africa domestic Tests, the Rugby Championship and Super Rugby matches. Ten, meanwhile, retained the rights as the free-to-air broadcaster for domestic Tests, the Bledisloe Cup and all matches played by the Wallabies in the Rugby Championship.

Mr Delany recently said Foxtel, which has broadcast Super Rugby since 1996, would not pay as much for broadcast rights for rugby should RA make more of the sport available for free. Ms Castle said negotiations would need to consider making rugby more accessible.

RA said in a statement it was in “general discussions with the broader market about the rights for the period for 2021 to 2025. No formal negotiations with the broader market have yet taken place.”

The Rugby body said it will “commence a formal rights offer process at an appropriate time” and “had a 25-year partnership with Fox Sports and continues to be in discussions with their key executives.”