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The Business of the IPL

The IPL as a Business

The Indian Premier League turned cricket into a franchise-based entertainment business built on media rights, sponsorship and team ownership.

The Indian Premier League, launched in 2008 by the Board of Control for Cricket in India, is a Twenty20 tournament played between city-based franchises.

The idea

Instead of national teams, the IPL uses privately owned teams that buy players at an auction, similar to American sports leagues.

Who earns

The BCCI runs the league and shares a large part of central revenue with the teams, which also earn from tickets, sponsors and merchandise.

Why it matters

It is one of the world’s most valuable sports properties per match, and it changed how cricket is financed.

A franchise model

A team owner pays for the franchise licence, buys players and hopes to earn from media rights, sponsors and fans.

Thinking the IPL is only a sport

It is an entertainment business with sport at its core.

Key takeaways
  • The IPL began in 2008.
  • Franchises are privately owned.
  • Revenue comes from media, sponsors and gate money.
  • It reshaped cricket's economics.
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