Big money in entertainment and sport Malaysia doesn’t want
Why would any country deprive itself of economic fortune?
(FMT) – It isn’t just Taylor Swift. Malaysia has also not seized the opportunity to land other blockbuster singers lifting economies with their vocals.
They are up for grabs under a contract between the Malaysian government and US entertainment group, Anschutz Entertainment Group (AEG).
But Malaysia it seems doesn’t want the fortune that comes along with them.
The numerous artistes on AEG’s stable, who are moving markets, include the Rolling Stones, Beyonce, Katy Perry, Bruno Mars and Pitbull.
Will the government be aggressive and go for them after failing to capitalise on the access it had to Swift?
A source with knowledge of the contract said the government was aware of the economic lottery it stood to scoop by hosting megastars.
It was also forecast that an additional first-rate 10 or more world or regional events, such as carnivals, a year would bring more than RM100 million in tourist receipts to the country.
The figure does not include the millions in spillover economic benefits. The live entertainment industry contributed to 6.8% of Malaysia’s GDP pre-Covid.
Also on the wayside is the opening to host top English Premier clubs and international football teams that come through AEG.
Kuala Lumpur Sports City (KLSC) in Bukit Jalil was to be the catalyst of the entertainment and sport industries with a multitude of events over 10 years.
KLSC has thus far generated little positive economic impact.
AEG’s affiliate company, ASM Global, signed the contract with Malaysia Stadium Corporation (PSM) in 2022.
It was agreed the ministry of youth and sports would work with local firm, Sportswork, to curate community and world-class content for events at KLSC, to maximise income, and to enhance venues there.
“We have A-list artistes and content in our grasp via the arrangement with ASM Global. We must be more aggressive to get them in.
“The huge economic windfall is beyond politics,” said former youth and sports minister Ahmad Faizal Azumu.
Faizal, who led the Malaysian delegation to London to ink the deal with ASM Global said: “The government should be competitive and creative to capitalise on what’s already with them.”
He added enhancing the vibrancy of venues was critical to KLSC being a regional hub.
AEG sidelined?
AEG’s role in Malaysia has now been reduced to consultants for the optimisation of the National Stadium in Bukit Jalil.
In other countries, it has turned several venues into successful entertainment and sport centres.
Here are two examples of success stories that Malaysia can learn from.
AEG injected dynamism at the Wembley area in London, which was almost a white elephant when it took over in 2002.
The O2 Arena (formerly The Millennium Dome), was a project by the British government that was not financially sustainable.
AEG stepped in and made it one of the world’s most profitable venues.
Today, the arena books over 200 events annually with a footfall of over 2.5 million visitors.
Some of the events it has hosted includes concerts by global artistes like Beyonce, U2, Taylor Swift and Drake.
AEG acquired the Wembley Arena in 2013, and with its 12,500 capacity arena still manages to host over 100 events in London.
It attracts over one million footfall, even with the O2 Arena an hour away.
How much longer before KLSC shimmers?
