F1 teams can stop shift to pay-TV

The Formula 1 teams can put a halt to the movement of broadcasts heading towards pay-TV according to Christian Sylt.

Journalist Christian Sylt writes in his report on the finances of F1 that the ten teams could put a stop to the shift.

In several countries Formula 1 is shown partly on pay-TV thanks to the contracts of Ziggo Sport and Sky Sports in the Netherlands and the UK.

Sky Sports have a license to show all of the races but the British Grand Prix will be shown on Channel 4.

Until this season Channel 4 were allowed to show ten races but following the shift, they have seen their number dwindle.

However, in his report, Sylt says Formula 1 teams can put a stop to this because it must be guaranteed Formula 1 will be shown on pay-TV in large markets if this is at the expense of the size of the audience. In England, the fifth market, that could be the case.

This is all done through ‘Team Agreements’.

Despite this the consequences could be big, if the audience is smaller there would be less money in the sport because sponsorship size for teams would be decreased, resulting in financial difficulties for the constructors.