DAZN Expands Into Australia: A Transformative $2 Billion Deal with News Corp

News Corp has decided to sell its Australian cable TV unit Foxtel to DAZN, a British-owned sports network, for A$3.4 billion. DAZN aims to enhance its global presence by entering the Australian market, a key strategic move that aligns with its vision to become the ultimate sports hub.

News Corp is set to divest its Australian cable TV unit, Foxtel, to British-owned sports giant DAZN for A$3.4 billion, steering away from the challenges posed by the streaming industry. As a result, News Corp will receive a board seat and maintain a 6% stake in the global streaming platform.

DAZN, which partners with major European football leagues like Serie A and LaLiga, is eager to conquer the Australian market, capitalizing on the nation's passion for sports. Foxtel has long been a financial burden on News Corp, struggling against cost-effective streaming alternatives such as Netflix.

With broadcasting rights inflation impacting earnings, Foxtel has often shared rights with free TV broadcasters. This shift to DAZN could redefine pricing dynamics, especially with potential competitive rates. The deal, pending regulatory approval, signifies News Corp's sharpened focus on its core strengths like digital real estate and publishing.

(With inputs from agencies.)