In their contract with Dream11, BCCI had made it clear that the company will have to give way to Vivo in case the latter decides to continue its association with the T20 championship.
The Board of Control for Cricket in India (BCCI) is ready to host the 14th edition of the Indian Premier League in April and May after successfully concluding IPL 2020 in the United Arab Emirates (UAE) at three locations: Dubai, Abu Dhabi and Sharjah. As the board prepares for IPL 2021, talks about sponsorship of the title have resumed.
Chinese smartphone maker Vivo had chosen not to participate in the IPL 2020 title sponsorship after a disagreement with the Indian Cricket Council over a reduction in sponsorship fees and in response to growing opposition to a Chinese brand supporting the tournament following the political fallout between India and China on the Galwan Valley border. The company had suffered many negative reactions on social media, as a result of which it decided to end its long-standing agreement with BCCI suspended for 2020.
Thus, the Indian council had to seek new title sponsors for IPL 2020 and their search had ended on Dream11. The fantasy sports platform had won the bid against companies like BYJU and Unacademy citing the highest number of rupees. 222 crores. This meant that BCCI had to suffer a loss of Rs 217.80, as Vivo had acquired the title sponsorship rights for the T20 league from 2018 for INR 440 crores per year for five seasons.
Vivo set to replace Dream11 as main sponsor
In their contract with Dream11, BCCI had made it clear that the company will have to give way to Vivo in case the latter decides to continue its association with the T20 championship. However, if Vivo does not show up, Dream11 will continue to hold the title rights until the 2022 edition. The distribution of Dream11’s winning bid is as follows: Rs 222 crore for the first year, Rs 240 crore for the second year and Rs 240 crore for the third year, for an average of Rs 234 crore per year.
While the BCCI has decided to hold the mini-auction for the next season of T20 Extravaganza on February 18, it has also clarified the sponsorship situation. According to a report in Cricbuzz, the BCCI is open to the return of VIVO as title sponsor of the 14th edition of the league as well as the seasons to come, as stated in the contract. However, Vivo has yet to make a decision in this regard.