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ESPN’s flying start in Premier could mean £80m for Sky

Nick Goodway
18 Aug 2009


The first Premier League match screened by Disney offshoot ESPN attracted 480,000 viewers, which could mean an £80 million boost to Sky's annual revenues, according to analysts at Citigroup.

Arsenal's 6-1 annihilation of Everton won an audience of just over half Sky's coverage of Saturday's Chelsea v Hull fixture. But Citigroup reckoned that was not a bad result given it is barely a month since ESPN picked up the pieces after the collapse of Setanta.

The investment bank points out that ESPN's success could be a double-edged sword for Sky. The package of 46 games taken by ESPN is more attractive than those owned by Setanta as Sky has been more generous in helping the rival broadcaster get its Premier League coverage off the ground.

Citigroup reckons Sky will collect around £2.50 a month for each ESPN subscription channelled over its network. That means if ESPN were to win two million subscribers Sky's revenues would be boosted by some £80 million.

If ESPN is too successful it could ultimately push up prices when the next Premier League TV rights auction takes place.

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