JournalismPakistan.com | Published last year | Media Insider
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ISLAMABAD—PTV Network is facing a significant decline, with its previously successful channel, PTV Sports, now in total disarray. If the government does not replicate Chairman PCB Mohsin Naqvi’s resolve to conduct a major surgery, the channel may have to be shut down.
The channel that resurrected PTV Network's brand and brought back the viewership will be redundant if timely actions are not taken. The current administration operates temporarily, fostering a culture of mediocrity while sidelining competent individuals. This reliance on underqualified, handpicked officials has pushed the state broadcaster to the brink of collapse.
Financial Performance vs. Reality
Despite closing the financial year 2023-2024 with substantial returns of PKR 5.4 billion—a record-breaking achievement—this success is largely superficial. Most of these earnings came from broadcasting the Asia Cup 2023 and the ICC World Cup 2023, contracts secured by the preceding administration and former director of sports & syndication, not by the contemporary team. These two events alone accounted for over 65 percent of the total revenue. The current management, eager to claim credit, failed to recognize the impending crisis surrounding them. Paradoxically, despite recording substantial revenue for the fiscal year 2023-2024, PTV Network finds itself teetering on the brink of financial collapse.
Mounting Debts
PTV Sports, once the flagship channel, is now in shambles, plagued by overdue liabilities and operational inefficiencies. The network is encumbered with debts amounting to PKR 5.612 billion, including an outstanding PKR 1.5 billion owed to pensioners, a PKR 600 million loan for staff salaries, PKR 640 million due to the Pakistan Cricket Board, and USD 1.55 million (PKR431 million) payable to Star Disney. TenSports has billed PTV to pay them the outstanding amount of USD 650,000 (PKR 181 million). The Pakistan Cricket Board is seeking bids for the PCB 2024-2026 rights which shall have a handful of top-tier series and triangular tournaments hosted by Pakistan (bilateral international home series) and they have warned PTV of disqualification if the state broadcaster fails to reimburse the long overdue sum of PKR 640 million. Furthermore, a PKR 1.26 billion (USD 4.55 million) payment for the ICC Champions Trophy 2025 broadcast rights looms ominously on their faltering landscape.
Operational Inefficiencies
The financial strain has left PTV on the verge of default, eroding its brand credibility and jeopardizing future broadcast rights. The incumbent management's missteps are characterized by haphazard decision-making, nepotism, political capitulation, lack of planning, and inability to negotiate professionally with the parties. A stark absence of strategic investment has precipitated a crisis of unprecedented proportions. The organization's precarious state underscores the dire need for robust, visionary leadership to restore its former glory. Trusting the incumbent management and director of sports & syndication will mean reinforcing failures and hastening the network’s extermination.
Bureaucratic Mismanagement
The Federal Ministry for Information & Broadcasting's experiment to assume total control of the state broadcaster and appoint additional secretaries as PTV managing director has proven to underpin a sequence of unending letdowns. These bureaucrats and their handpicked directors are ill-suited and irrelevant to modern broadcasting, product development, and market competition, and have driven the network and PTV Sports, the most productive specialized channel, to the brink of redundancy.
The Rise of PTV Sports
Launched in January 2012, PTV Sports by May 2022 had become the only market-savvy channel, boasting an unparalleled content inventory that included ICC Rights 2020-2023, Asia Cup Rights 2014-2022, PCB Rights 2020-2023, Cricket South Africa Rights 2020-2023, English Premier League 2021-2022, World Snooker, AEW Wrestling, and Ballon d’Or 2021. Its ratings soared, leading to impressive returns of Rs14.09 billion (January 2012 until May 2022) and establishing a dominant market presence.
Decline After a Golden Phase
During this period, PTV Sports captivated audiences by setting a new trend of inviting ex-top international cricketers like Vivian Richards, Brian Lara, Glenn McGrath, Sanath Jayasuriya, Ajay Jadeja, Andrew Symonds, Ian Chappell, Sir Curtly Ambrose, and David Gower. Dr. Nauman Niaz, then director of sports and syndication, hosted the signature show "Game On Hai," with Rashid Latif and Shoaib Akhtar as part of the local cast. This innovative approach led to ratings that mirrored investments, capturing 63 percent of the market share. From January 2012 until May 2022, PTV Sports missed broadcasting only one series involving Pakistan—their tour of South Africa in 2018. During this period, the channel was a source of comprehensive sports coverage, ensuring that almost every significant event was broadcast live. However, the situation took a drastic turn post-May 2022.
Recent Failures
The recent history of PTV Sports is marred by missed opportunities and defaults. Notably, the channel failed to secure the broadcast rights for several key events, including Pakistan's tour to the Netherlands in 2022, the FIFA World Cup 2022, and the Pakistan Super League seasons 9 and 10. Further lapses include New Zealand's tour of Pakistan in 2024, Pakistan's tour to South Africa in 2024, and the Summer Olympics 2024. Moreover, PTV Sports' financial troubles have compounded their operational inefficiencies. A significant default on payments to Star Disney resulted in a legal notice and subsequent blacklisting. This mismanagement has dire consequences, likely resulting in missing out on the Asia Cup rights for eight years and Pakistan’s tour to Australia in 2024. Such failings reflect poorly on the incumbent management and the head of sports, pointing to a systemic issue within the organization.
Nepotism and Favoritism
Adding to the woes is the evident nepotism and favoritism within the ranks. A glaring example is the appointment of the chief organizer of sports in Group 8 to a full-time working director within three months. Despite being implicated in the financial and operational blunders, this individual continues to hold a position of influence, underscoring the detrimental impact of cronyism on the channel’s fortunes. Federal minister for information and broadcasting may well be required to investigate why an incompetent man, promoted twice in three months who had previously been demoted because of inefficiency has been preferred despite glaring lapses and bringing disrepute to the network. The reasons why the incumbent management comprising Federal Secretary of Information & Broadcasting Mrs. Shahera Shahid and Managing Director PTV Sayyed Mubashir Tauqir have been favoring Osama Azhar, bending rules, and eliminating his competition by recommending frivolous inquiries against the competent stock need to be known. It has come at the cost of the network's impending wholesome devastation.
Institutional Erosion
This narrative of decline is not merely about missed broadcasts; it symbolizes the erosion of a once-thriving institution. The need for strategic, visionary leadership at PTV Sports is more pressing than ever to revive its lost glory and restore its status in the competitive broadcasting landscape.
Precarious Financial Situation
An insider has revealed the precarious situation facing PTV Sports. Should PTV fail to settle payments amounting to USD 1.55 million with Star Disney, they will be barred from participating in the Asia Cup Rights bid and will also miss Pakistan’s tour to Australia at the end of 2024. The Asia Cup is one of the top three revenue-generating events. Ironically, the USD 1.55 million PTV owes to Star Disney primarily concerns the three-year English Premier League rights for 2022-2025. Most of the last season was blacked out on the channel due to non-payments, significantly affecting the state broadcaster's finances. Therefore, PTV is liable to pay for the content they didn't air or monetize. And still, the man responsible wasn’t penalized but instead promoted and protected, such abysmal is the state of PTV’s management. Additionally, PTV Sports, despite holding the rights, chose to air lesser-known league matches held in Zimbabwe at the expense of the Junior Asia Cup in 2023. It was only after Pakistan and India reached the finals that they switched to the tournament’s last match. This is yet another example of the absolute incompetence plaguing the organization.
Impact on Future Prospects
The cumulative effect of these missteps is evident. Failure to meet these financial obligations not only jeopardizes PTV Sports' current holdings but also risks their future in securing and maintaining high-value broadcasting rights, thereby diminishing their standing and influence in the competitive broadcasting landscape. The previous management and director of sports & syndication, hired through an open market advertisement as a professional, despite being available, have been sidelined due to the pervasive politics and insecurities at PTV. Under their tenure, PTV had secured exclusive PCB Rights for 2020-2023 on a revenue share basis, sparing the state broadcaster from any financial burden. Despite this advantageous arrangement, PTV now owes PKR 640 million to the Pakistan Cricket Board (PCB). The PCB is currently soliciting bids for the 2024-2026 rights, which include a major international home series and a triangular tournament in early 2025. Additionally, Tensports has invoiced PTV for USD 650,000, and these payments, alongside another USD 4.55 million for the ICC Champions Trophy 2025, are due within the next two months. However, PTV's finances are almost completely exhausted.
Broadcast Revenue and Mismanagement
Broadcast revenue from the ICC T20 World Cup 2024 amounted to PKR 2 billion, with a net figure of PKR 1.75 billion after adjustments and droppages. PTV had to secure an advance of PKR 1 billion from their digital partners, who are now dissatisfied with their treatment and are considering canceling the agreement, which could result in a loss of a promised revenue of another USD 1.87 million (50 percent of the total deal). An insider also highlighted the mismanagement by the overly supported director of sports & syndication. Instead of adhering to established procedures for commercial airtime sales for the program 'Game On Hai', which should have been managed through their Central Sales Office at a 10 percent premium, he attempted to handle it independently. He bypassed the rules, and approached private parties without issuing an Expression of Interest (EOI) or obtaining approval from a competent committee. This mismanagement resulted in an expenditure of PKR 120 million, with only PKR 40 million in revenue, causing a loss of PKR 80 million and generating lower show ratings compared to their competitors who had invested not even one-quarter of what PTV had done to assemble an ill-planned show.
Costly Decisions
Such is the incompetence and the management's inability to run the organization effectively, they hired the services of a cricket superstar without properly assessing his last drawn remuneration from the market. Previously contracted by PTV, he was on a PKR 1.5 million monthly retainer and received no additional fee for appearing on programs during global tournaments. This time, he has been hired at an unprecedented PKR 3.6 million monthly (regardless of the pendency which PTV is required to clear) and is also being paid PKR 35 million for his sporadic appearances on Game on Hai during the ICC T20 World Cup 2024 broadcasts, all while PTV’s exchequer is depleted and unable to pay off its liabilities.
Lost Opportunities
The management's capricious and shortsighted decisions led them to default on a Memorandum of Understanding with a private broadcaster, causing them to miss out on the hugely popular drama 'Salahuddin Ayubi', which was forecast to earn PTV a handsome PKR 140 million. Similarly, during the Ramadan transmission, PTV dropped Maulana Tariq Jamil's program, which their sales team had sold for PKR 20 million, solely because he was perceived to prioritize Pakistan Tehreek-i-Insaaf.
Future Outlook
To survive, PTV Sports will be compelled to sublicense the Summer Olympics 2024, Pakistan’s tour to South Africa 2024, and PSL 10 rights from ARY Digital. Ironically, they will be dealing with a network they had previously taken to court, having also sacked their director of sports and syndication on the pretext that he had partnered with a network that was seemingly against the PML (N) government. Worse still, PTV is unlikely to make timely payments given their financial reality. If they fail to do so, PTV Sports risks being reduced to an insignificant channel.
About the author: Media Insider is a journalist with experience in the media industry, offering an insider's perspective on the challenges and dynamics of broadcasting and journalism.
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