Nine and Cricket Australia declined to comment.

A News Corp spokeswoman confirmed Foxtel, which is 65 per cent owned by News Corp following the completion of its merger with Fox Sports, walked away from negotiations with Cricket Australia.

"Fox Sports withdrew from negotiations with Cricket Australia on Friday morning due to a lack of material progress over the preceding week," she said.

"Fox Sports has continued discussions with Cricket Australia over the weekend, however there has been no reengagement of negotiations."

Sources said Fox Sports remains keen to be involved in cricket. Sources said Nine, in particular, is at its limit, growing frustrated and its interest in cricket waning.

There was concern and frustration among free-to-air broadcasters that Cricket Australia was close to wrapping up a subscription TV deal without them being brought into the fold.

At its full-year results last August, Nine chief executive Hugh Marks indicated he was keen to wrap up a cricket rights deal before the end of October. However, Cricket Australia did not start to formal tender process until March, which allowed Tennis Australia to end its exclusive negotiating period with Seven West Media and quickly wrap up a deal with Nine. Nine's contract with Tennis Australia does not start until 2020.

A $150 million per season deal would be around a 40 per cent increase in the value of Cricket Australia's broadcast rights, compared with its previous five year deal, in a market where television advertising revenues, the primary source of free-to-air network income, have largely been in decline.


Cricket Australia, just over two weeks ago, rejected Nine and Ten's first bid of $130 million, including cash and contra, stating it was not compliant in a short email which did not ask for a new bid and was aimed at breaking up what it labelled as the consortium.

There has been speculation Seven has been working with Cricket Australia and Foxtel – the pay TV provider would need a free-to-air partner under anti-siphoning rules – but chief executive of the Kerry Stokes-controlled broadcaster, Tim Worner, has publically said continual inflation in sports rights is not sustainable.

Seven is understood to be keen on securing some cricket after losing its tennis broadcast rights to Nine, but not at any price.

It is believed Foxtel's bid would have seen the free-to-air component become a simulcast arrangement and the pay TV provider would keep digital rights as it explores potential over-the-top streaming services, known as Project Martian, in a attempt to boost its 30 per cent population penetration.

This would severely diminish the value of any rights for free-to-air networks which have also been building their digital streaming strategies over the last five years.

Free-to-air networks are pushing to emphasise their reach is valuable and if their ability to monetise the rights is diminished either through not enough cricket or simulcast taking value out, their interest in the sport will wane.

Cricket Australia wants a deal for the next six seasons, starting in October, and has told broadcasters that potentially only select content needs to be shown on free-to-air television, including Ashes, Boxing Day and New Year's Tests, every women's international game, about half of the Big Bash League, including finals, and special events such as the annual Allan Border Medal presentation.

The last Cricket Australia deal, which expired earlier this year, was worth roughly $550 million in cash and contra over five years; $90 million a year was paid by Nine for rights to international matches and $20 million per year by Ten for the Big Bash League.