GA

cwg ,
superbug-ndm1
Telecom
IPL Commerce
wikileaks
 cwg
• 2003 bid – 655 crore budget
• Today’s estimate – 11500 crore
• Opening ceremony - ?
• CAG finds fake quality certificates on 16 sample projects (pavement re-laid, lamp posts, road
resurfacing etc.)
• 300 complaints of misuse of funds
• Mismanagement / misappropriation possibility– hundreds of crores
• Diversion of funds set aside for other purposes.
• Favoring contractors
• MAMM-23% commission on sponsorship amount generated
• Inflated costs (toilet paper Rs 4138 per roll, Treadmill Rs 10 lakh for 45 days hiring – 2 lakh
cost, Fridge 42000 at least 4 times cost, Chair hired at Rs 8000 per piece)
 Cwg-qbr
• XIXth edition
• Core value HED
• Olympics core value – Citius, Altius, Fortius & 5 rings
• Mascot-?
• 54 countries – 71 participating teams
• QBR- 29-10-2009-BPLondon – HM QE-II – POI – SMOI – SK-AB
• AB-KD-SM-MS-VK-SC participated in QBR
• Travelled all countries
• Last 100 days – travelling across India to 28 states
• Where is it today?
 Superbug – NDM1
• 31 scientists (8 Indian) from institutes all over the world have conducted research and have
identified a gene having resistant to almost all antibiotics.

• Research claims Gene identified in 37 people who returned from India/Pakistan after having
surgery here. Gene named superbug-NDM1 (New Delhi metallo Beta lactamose) , named
after the place it was first identified with.
• Many scientists trash the finding that such a gene can’t be location centric and can be found
anywhere.

• Indian Government has rubbished the report and claims conspiracy and conflict of interest
and no scientific inference to conclude Indian connection.

• Funded by EU, pharma giants welcome trust/Wyeth

• Threat from Indian medical tourism

 Telecom
• 2G – second generation wireless telephone technology – digital voice /
data transmission
• 3G – much stronger capacity – potential use - Mobile TV, VOD, Video
Conferencing, Telemedicine….. Launched by NTT DoCoMo
• 2G revenue to Govt. Rs.10,000 crore.
• Controversy?
• 2008-Additional licenses issues based on 2001 price, FCFS
• Fetched Government 1651 as license fee for 22 circles (22X4.4=96.8
MHz spectrum)
• Subsequent divestment-
• DB(SWAN) –to- Etisalat 45% stake 1537-4500
• Unitech-to-Telenor-67% 1651-6100
 Telecom
• 3G - 2010 Auction –
• 34 days, 183 rounds, - started April 9th
• Delhi-1659, Mumbai 1700 (Pan India 2G 2001 price-1651)
• Pan India – 10348 (4 available Pan India slots-41786 ) – 5.7
times increase between 2G to 3 G
• Revenue to Government - 67000 – from 3G auction
• Delhi-9900, Mumbai 9700)
 IPL
Cricket and Commerce
 What is IPL?
• Game of cricket
• Concept of club – city affiliation
• World’s hottest sporting property
• Fastest appreciating sporting business
• Franchises
• Auction rules
• In line with US NBA / UK EPL – home and away matches.
• IPL I,II-?
 What is IPL?
• Team composition
• 20 players
• 8 Overseas players
• 4 Catchment's players
• Auction-amount ceiling, %availability time
• Home-away concept
• Second highest paying sporting event, based on average
player salary
 Stakeholders

• BCCI - earner
• Franchises – investor (spend + earn)
• Sponsors - spender
• Players - earner
• Fans - spender
• Media – spender + (earner)
• Advertisers - spender
 Why franchise?

• Visibility
• Seen as connecting with people, community, youth, and city
• Promoting and nurturing talent
• Business sense
 Franchise owners
10 year license fees

• GMR-$84M
• India cements-$91M
• Gp-1 Karan Paul, Mohit Burman, Ness Wadia, Preity Zinta-$76M
• Emerging Media with Shilpa, Raj Kundra$67 M
• RIL-112M,
• Red Chilies-$75M
• UB-@112M
• Deccan Chronicles-$107 M
 Source of money

• License fees – to bcci / from franchise

• Media rights – 20/80

• Central revenue – 40/60
• Money raised by Franchises – 20/80
• Theatre screening
 BCCI
• High Revenue-Low Risk
• License fee Rs. 333 crores per year (from 8 team owners) – was
auctioned in IPL-1 for 10 year ownership. When 2 new team
added this year end-the license fee of new teams – 327 crores -
License fee earning doubled.
• TV screening right-Rs 8700 crore per year – 10 year-revenue
shared with franchises
• Theater screening rights – Rs 33 crore per year – to
entertainment sports direct – which will license screen viewing
across 800 multiplexes.
• Google – Youtube telecast rights
• Central sponsorship (DLF, HeHo, Pepsi, KiFi, Citi,VoFo)-120 cr-
shared with franchises.
• Hospitality boxes Rs 50,000 per ticket
 Franchise
• High Revenue-High Risk
• Major expense heads- License fee, Player fee - bulk expense,
Grounds, Service-other expenses-about Rs. 70-75 crores per
year.
• TV screening right-each gets Rs 67 crore (80% of revenue
shared by franchisers)
• Central sponsorship – each team gets about Rs 9 crores.
• Money raised by franchises

Stadium ads
Product licensing
Tickets (gate money)
Ad on tickets
Impact of increasing teams 8-10
Central sponsors – DLF/Hero Honda/King Fisher/Pepsi
 wikileaks
• What is this new wiki? What are the old wikis?
THANK YOU