F1 owning company believes in surviving live events
They choose to be cautious about how things will be after the pandemic
Liberty Media, which owns Formula 1 since 2016, doubts that racing and other live events will be as profitable in the post-covid-19 era as they were before.
The post-covid-19 world poses many uncertainties, mainly economic but also social. From the show business, they wonder if they will continue to invest in entertainment, and large live events are the biggest unknown. This worries Liberty Media, a company that owns in turn companies related to sports, the media and the entertainment industry.
Liberty Media CEO Greg Maffei conveyed confidence to his investors this week, believing that live events can be held when this crisis is over, but they do admit they don’t know if they will continue to be just as profitable.
“I think we are being cautious about the fact that things will have to be adjusted and changed so that we can do business that works in a post-covid-19 world,” replies Liberty Media CEO Greg Maffei in the annual meeting with its shareholders, according to the Atlanta Journal Constitution.
“Whether that’s through therapy, a vaccine, or a change in procedures, there will be ways to hold live events“Maffei adds.
“Will they be as profitable as they have always been? I think we have to see that, so for now we are going step by step with a cautious attitude, “says Maffei.
Liberty Media President John Malone supports Maffei’s thesis and is justified by the important value that television broadcasts and digital content distribution have acquired, reminding that they are still possible during this crisis and will continue after it.
“The original thesis that live events are content for television or digital distribution I think remains intact. Unfortunately we have this pandemic. I honestly believe that there will be a therapy or vaccine sooner rather than later that will bring us closer to normality,” he says. Malone.
“There will undoubtedly be an impact in terms of investment. If this downturn is excessive, it will present opportunities for those of us who believe in the long-term thesis that you have to bet on live events,” says the director of Liberty Media to finish.
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