By Oliver Trust
BERLIN, May 5 (silubaba) -- By opening doors for a strategic investor, the German Bundesliga intends to increase its international competitiveness.
Plans of the German league association envisage an extra two to three billion euros coming in with a partner benefitting from increasing revenues from media rights.
The German league's intentions come as a direct reaction due to the vast advantage the Premier League has created by collecting over 1.8 billion euros in international markets.
Spain's La Liga, France's Ligue 1, and Italy's Serie A have triggered similar actions while the German league has lost ground compared to its European competitors.
The DFL's revenues of only 170 million euros appear small compared to La Liga (897) and Serie A (205). The Bundesliga has dropped back to fourth position among Europe's top-five leagues.
The French league recently opened doors to investors, allowing them to buy the majority of shares of clubs, and is expected to outpace the German league.
Despite the backlog, the DFL intends to keep the 50-plus-one rule as a national specificity as the majority of the 36 clubs from the first and second tier are voting in favor of the current rule.
The DFL's actions are said to primarily strengthen the league's digitalization, infrastructure, and international marketing.
Reports speak of a 12.5 percent participation of a newly-formed subsidiary company dealing with international markets over 20 to 30 years.
The DFL is said to use 750 million euros to set up a streaming platform to create greater access to games for international viewers.
While most of the gained income is bound to investments in infrastructure, clubs are said to receive 300 million euros to spend as they wish.
On May 24, a general assembly is said to decide on the plans, with a two-thirds majority needed while critics grow.
Opponents complain about the growing gap in the German league, as sides from the bottom half have lost contact with leaders such as Bayern Munich and Borussia Dortmund, who enjoy regular income from the UEFA Champions League.
Marketing experts fear the Bundesliga might turn into a development league coming along with the loss of emerging stars.
Nearly half of the league's recent transfer income of 600 million euros came from the Premier League.
"Our plans are not aiming at attacking the Premier League but to create more future stability for our clubs," said Oliver Leki, interim head of the DFL and Freiburg's financial director.
While fan organizations fear the growing influence of investors from outside, critics from clubs have concerns future income might be used up.
Supporters of the plans claim new ways are needed to secure German club football's future as TV money revenues are decreasing. Experts say up to 200 million international fans consider spending 100 euros per season to see games live.
Proponents say the main goal must be to recapture second position in European football as the Premier League is now uncatchable. ■
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