'This isn't just about football': The TV dispute which threatens £300m Newcastle United takeover

An explosive letter has landed on the desk of Premier League chief executive Richard Masters.
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The missive, from Qatar-based overseas rights-holder beIN Sports, urges him to block the proposed takeover of Newcastle United.

Financier Amanda Staveley, backed by Saudi Arabia’s Public Investment Fund and billionaire property investors David and Simon Reuben, has agreed a £300million deal for the club, which is subject to the Premier League’s owners’ and directors’ test.

What is the complaint?

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The objection from beIN relates to a long-running dispute over illegal broadcasts of Premier League games in Saudi Arabia, which has been the subject of previous litigation. State-owned satellite provider Arabsat transmits games on pirate channel beoutQ.

The letter from chief executive Yousef Al-Obaidly to Masters reads: “It’s no exaggeration to say that the future economic model of football is at stake.

“The apparent involvement in the acquisition of NUFC of the principal sovereign wealth fund of the very country that for three years has openly facilitated the operation of the largest and most sophisticated sports piracy service ever seen – beoutQ – greatly concerns us."

Present Richard Keys said: “The reason I have difficulty with this (is that) beIN Sports have been fighting with Saudi Arabia, because they’ve been broadcasting our channels illegally.”

Richard Masters.Richard Masters.
Richard Masters.

What is the context?

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This isn’t just about football. The Premier League has seemingly become embroiled in the bitter proxy war between Qatar and Saudi Arabia. The two countries have been locked in a political and economic dispute since 2017 when Qatar, which will host the next World Cup, was accused of supporting terrorism.

Until the dispute, Saudi Arabia was beIN’s biggest market. With beIN, which has a £500million deal with the Premier League, now banned in the country, games can only be watched via illegal means.

Will it succeed?

St James's Park.St James's Park.
St James's Park.

It’s undoubtedly an awkward situation for the Premier League. It wants an end to piracy in Saudi Arabia and elsewhere, but it will not want to take a side in a complicated geopolitical dispute.

And, crucially, the owners’ and directors’ test is designed to assess the suitability of owners and directors – and not arbitrate in proxy wars.