It has been reported that the global streaming platform made a loss of $2.33 billion in 2021.
Sport Business revealed that the company’s total losses over the past three reported years now touches $5 billion. The article points out that the operating loss – the number incurred when expenses exceed gross profits – was $1.36 billion. It’s an increase of over $200 million from 2020’s $1.15 billion.
Of course, the streaming giant is a global broadcaster working within more than 200 territories to deliver various sporting content including the UEFA Champion’s league, Premier League and NFL in some countries.
In terms of boxing, though, fans know it best for its partnerships with Eddie Hearn’s Matchroom and Oscar De La Hoya’s Golden Boy Promotions.
Hearn’s decision to not renew his contract with Sky Sports and deepen his relationship with DAZN has changed the landscape for the sport in the UK, adding another subscription fee to the bank statements of fans alongside those for Sky and BT.
The link up delivered some stellar events including fight of the year contender, Katie Taylor versus Amanda Serrano, as well as some packed domestic cards.
The promoter and broadcaster came under fire last year for introducing pay-per-view shows after strongly hinting in earlier marketing that they wouldn’t be doing so. The paid-for events over and above customer’s subscriptions have included Saul ‘Canelo’ Alvarez fights and crossover boxing cards topped by British superstar, KSI.
A UK PPV show headlined by Conor Benn and Chris Eubank Jr was in the offing until it was pulled at the last minute, and it is believed that many of Anthony Joshua’s fights – after the former champion signed an eye-watering long-term deal – will be accessible for an extra fee.
The reported losses are not split in terms of sport, so how DAZN’s boxing output has performed in terms of subscribers and pay-per-views isn’t clear.
Sport Business goes on to point out that the losses have been absorbed by parent company, Access Industries. It’s believed that DAZN has incurred losses in 2022 but figures will present an improvement on 2021 due to price increases. The most recently recorded committed spending on sports rights until 2028 is $3.2 billion.