Vivo Mobile India Private Limited sponsored the 2015 and 2016 campaign of the Indian Premier League before signing a $341 million valued contract for the year 2017 to 2022. The recent conflicts between India and China resulted in boycotting and banning of several Chinese apps and brands. Lately an outcry by public pointed towards disagreement of IPL being sponsored by a Chinese brand.
The BCCI gave a concrete statement in which it was clearly mentioned that the upcoming season of IPL 2020 will not be sponsored by Vivo Mobiles. The company in its part added that the association with the Indian Premier League is being paused.
The sponsorship is not dismissed, but suspended. Now both of the parties are working on a new possible plan in which Vivo might be seen again as a sponsor in the year 2021 with some new and revised terms and conditions. However, for now, there might be losses for the franchises as they used to get a proper share from the sponsors.
“As of now, it will be very difficult for the BCCI to match the sponsorship amount at such a short notice. Therefore, both BCCI and the franchises should be prepared to lose out on some money,” the BCCI official stated.
It is estimated that around Rs. 15 crores is what a franchise could lose potentially. It can now be decided that this is going to be a bitter year for the teams as their spending will be cut shot to a cheaper level. Even for the BCCI it is going to be tough time as Vivo used to pay around Rs.440 crore every year as the sponsor. So, funding such an amount in just a month and a half is going to be a heavy rock to carry.