The economic news coming out of Spain is grim. Unemployment, always on the high side by EU standards, has soared, particularly among young people. Many of them are choosing to emigrate to Mexico or elsewhere in Latin America. The banks are in deep trouble and, whatever the Government may say, the country may well need a bailout from the IMF and the EU.
The economic news coming out of Spain is grim. Unemployment, always on the high side by EU standards, has soared, particularly among young people. Many of them are choosing to emigrate to Mexico or elsewhere in Latin America. The banks are in deep trouble and, whatever the Government may say, the country may well need a bailout from the IMF and the EU.
One enjoyable distraction for the country’s citizens (only some of whom think of themselves as Spanish) has been the football in one of the best leagues in the world. Indeed, the country currently holds the World Cup and the European Championship. Real Madrid and Barcelona are regarded as two of the most iconic clubs in the world.
What is more, unlike England, Spain has had one free-to-air domestic game on national television each week. So if you are hard pressed financially and cannot afford cable or satellite, you can still enjoy a game from your armchair.
The rights to air for 38 La Liga games are currently held by La Sexta. However, this channel is being bought by Atnenna 3 which regards the €60m paid for the rights as a financial disaster. In the current crisis advertising revenue is seriously depressed. Antenna 3 may not bid for the rights next year unless the price is substantially reduced. It expects the national advertising market to shrink a further 7 to 10 per cent this year.
Private sector broadcasters in Spain are all having a hard time. The largest network is Mediaset Epsana with a 43 per cent market share. Its first quarter net revenues fell by 18 per cent. The company, which is controlled by Silvio Berlusconi’s Mediaset, expects April advertising revenues to drop by up to 17 per cent from last year. Spending on telecoms and beverages advertising has fallen particularly sharply.
Many of Spain’s regional television channels, which are controlled at that level, also show free matches. But they are battling for survival after the government in Madrid said that they must be privatised or closed as regions struggle to reduce their budget deficits.