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Report: NZR facing big revenue drop as Rugby Australia finally on the up

The Blues celebrate winning the Super Rugby Pacific Grand Final match between the Blues and Chiefs at Eden Park in Auckland on June 22, 2024. (Photo by MICHAEL BRADLEY / AFP) (Photo by MICHAEL BRADLEY/AFP via Getty Images)

NZR are reportedly facing the prospect of a significant revenue drop on their next broadcasting deal as Sky New Zealand has tabled a much lower offer than the current arrangement according to reports.

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A report by The Roar Rugby detailed the reversal of fortunes for Rugby Australia and NZR as negotiations continue for the next broadcasting cycle.

Rugby Australia swallowed a reduced contract on their last deal, but the silver lining was more free-to-air exposure with Nine Entertainment and Stan Sport.

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They are set to extend that partnership according to News Corp with a new five-year deal with a revenue bump this time around.

As negotiations continue, a key stumbling block has been with New Zealand where Sky has reportedly offered NZD$30 million less per year than the current deal. The current TV rights deal is worth NZD$80 million per year to NZR.

The downgrade would implicate both national bodies as they have joint SANZAAR interests including Super Rugby Pacific.

A 37.5 per cent drop in annual TV revenue would add more pressure on NZR in the area of player retention, with the broadcast deal a significant portion of the total income stream.

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With NZR having a minority ownership stake in Sky, the two organisations have enjoyed a long and fruitful partnership over the years. A downgrade of this magnitude highlights the structural issues within the industry facing long-term decline.

Rugby Australia is not without retention issues, with a host of high profile players off-contract after 2025 including openside flanker Fraser McReight and star centre Len Ikitau, who is reportedly been offered a mega deal in Japan.

Forward Langi Gleeson was dropped from the first Wallabies camp of 2025 for signing with Top 14 club Montpellier.

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1 Comment
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Icefarrow 2 hours ago

That's not too bad, considering the only reason they got 80 million in the first place was due to competition. Now that no one's competing with Sky NZ anymore, they have all the power.

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JW 5 hours ago
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Have to imagine it was a one off sorta thing were they were there (saying playing against the best private schools) because that is the level they could play at. I think I got carried away and misintrepted what you were saying, or maybe it was just that I thought it was something that should be brought in.


Of course now school is seen as so much more important, and sports as much more important to schooling, that those rural/public gets get these scholarships/free entry to play at private schools.


This might only be relevant in the tradition private rugby schools, so not worth implementing, but the same drain has been seen in NZ to the point where the public schools are not just impacted by the lost of their best talent to private schools, there is a whole flow on effect of losing players to other sports their school can' still compete at the highest levels in, and staff quality etc. So now and of that traditional sort of rivalry is near lost as I understand it.


The idea to force the top level competition into having equal public school participation would be someway to 'force' that neglect into reverse. The problem with such a simple idea is of course that if good rugby talent decides to stay put in order to get easier exposure, they suffer academically on principle. I wonder if a kid who say got selected for a school rep 1st/2nd team before being scouted by a private school, or even just say had two or three years there, could choose to rep their old school for some of their rugby still?


Like say a new Cup style comp throughout the season, kid's playing for the private school in their own local/private school grade comp or whatever, but when its Cup games they switch back? Better represent, areas, get more 2nd players switching back for top level 1st comp at their old school etc? Just even in order to have cool stories where Ella or Barrett brothers all switch back to show their old school is actually the best of the best?

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