Last week, a senior executive within the Saudi Arabian Public Investment Fund told this masthead it is likely to take a stake in DAZN in the future. The PIF has previously been rumoured to be taking a $1.57 billion stake in DAZN.

While DAZN is expected to post its 2023 calendar year results later this month, the company posted losses of $US4.1 billion ($6.4 billion) in the three years to December 2022, raising questions over the financing of the Foxtel deal.

Access Industries also has significant stakes in music giant Warner Music Group, French music streaming platform Deezer and independent film house A24.

DAZN is one of the few purely sports streaming firms, with a global presence and one of the largest sports streaming firms in Europe. However, it is comparatively small in Australia and has a presence in 200 markets worldwide.

While it is unclear whether DAZN will merge Foxtel’s Kayo with its existing platform in Australia, it immediately makes it the largest player in domestic sports streaming. It also takes over Binge, the entertainment streaming service with 1.5 million paying subscribers. Kayo has more than 1.5 million subscribers, while the legacy set-top box business has more than 1 million customers, but they are in structural decline.

Segev said he and his team look forward to working closely with Foxtel boss Patrick Delany.

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A year ago, Segev outlined DAZN’s vision to become the global destination platform for global sports fans, akin to Spotify or Netflix in their respective markets, and to fix the fragmentation of sports consumption.

DAZN has built up its subscriber base by purchasing rights to major competitions in Western Europe, in particular football rights packages in France, Germany, Italy and Spain.

It is yet to crack the largest market in England, however, with most of its presence around boxing. It failed in a 2022 bid to purchase BT Sports, a pay TV group in Britain that would have given it access to one of the English Premier League’s lucrative rights packages.

While DAZN will get access to broadcast rights for the AFL, NRL, cricket, Supercars and other major international sports, it will also have to decide what to do with Foxtel’s other assets.

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One of those is its streaming aggregation business Hubbl, which the company spent about $200 million launching this year.

Foxtel has long-term deals with AFL and cricket until 2031, while the NRL is looking to secure a new broadcast rights deal beginning in 2027. The deal will leave questions over how committed the British company is to domestic Australian sport, with many of Foxtel’s rights deals central to the funding of sport in Australia, in particular with Cricket Australia, the NRL and AFL.

DAZN, which broadcasts the NFL, MMA and UEFA Women’s Champions League in Australia, emerged as the likely buyer for Foxtel after talks broke down between News Corp and US private equity firm Platinum over the former’s unrealistic asking price.

Should DAZN receive investment from the PIF, it would give Saudi Arabia greater influence in major markets, including some of Europe’s largest economies, and Australian sport. The PIF has already poured billions of dollars into sport, including Formula 1, which will begin its new season in Melbourne next year, while its LIV Golf tournament hosts an event in Adelaide.

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