Apple Eyes $2B Deal for Formula 1 Streaming Rights on Apple TV+

Apple Contemplates $2 Billion Annual Deal for Exclusive Formula 1 Streaming Rights on Apple TV+

Apple TV+ could be making a significant foray into motorsport, considering a substantial offer of $2 billion per year for exclusive streaming rights to Formula 1, according to reports. While Apple already offers sports content like MLB’s “Friday Night Baseball” and MLS Season Pass, this potential deal would mark a major expansion into the world of motorsports.

Business F1 Magazine, as reported by GPBlog, suggests that Apple is crafting an offer that the Formula 1 Group would find irresistible. The proposed deal, valued at $2 billion annually, is rumored to be double the current earnings of the Formula 1 Group from global TV rights.

What sets this deal apart is that Apple wouldn’t gain full exclusivity right away. Instead, it would initially secure around 25% of the overall streaming rights package. Over time, as existing rights contracts expire, Apple’s share could potentially reach 100% within five years.

Furthermore, Apple might opt for a fixed annual payment, which would remain constant even as their percentage of streaming rights increases. This fixed fee structure could potentially extend for a seven-year term.

Apple’s interest in Formula 1 is not entirely unprecedented, as the company has previously produced content related to the sport for Apple TV+. This includes a documentary featuring seven-time world champion Lewis Hamilton. Apple CEO Tim Cook even had the honor of waving the checkered flag at the US Grand Prix in October 2022.

Reference:

https://appleinsider.com/articles/23/09/30/apple-considers-2b-apple-tv-streaming-rights-grab-for-formula-1

https://machash.com/appleinsider/359460/apple-considers-2b-apple-tv-streaming-rights-grab-formula-1/

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