Dana Johannsen: Dalton's fighting talk can't hide problems

Emirates Team New Zealand in the fog before races in 2013. Photo / Brett Phibbs

Just as the news Bermuda is the next home of the America's Cup was expected, so too was Team New Zealand's bullish response.

Little more than 15 minutes had passed following the close of the press conference in New York, during which Bermuda was confirmed as the host of the 2017 event, before the Kiwi team released a strongly worded statement claiming the decision would not be a serious setback for the team. Over the next few hours Emirates Team New Zealand chief executive Grant Dalton reiterated his determination to get the team to the startline in 2017, keeping alive a sporting legacy that started nearly 30 years ago.

Dalton's fighting talk cannot mask the fact Team NZ remain in a precarious position. With the syndicate heavily reliant on Government funding to prop up their campaign, their place at the next event is far from a done deal, but any indication they are wavering would be likely to cast doubt in the minds of potential sponsors and supporters.

Stung by the bitter public backlash directed at the team following the disastrous "Black Friday" press conference in June this year, in which Dalton's pleas for further bridging finance from the Government was read as a thinly veiled ultimatum, Team NZ now appear to be shying away from emphasising their dependence on taxpayer money. The team's approach now is "here's our business case, take it or leave it", delivered with an indifferent shrug.

But make no mistake, Team NZ's hopes of campaigning for the 35th America's Cup hinges on the Government investment. The New Zealand taxpayer contributed $36 million to the last event, and Team NZ reckon they'll need a similar amount this time.

Dalton's big sales pitch, finessed by some number-crunching by Price Waterhouse Coopers, will centre on the potential economic benefits that can be derived from hosting one of the lead-up regattas.

But no matter how compelling that business case is, you have to think Team NZ's chances of securing further public money are about as remote as the island of Bermuda. The noises coming from the Beehive yesterday suggest the Government is acutely aware investing money in a boat race will be a deeply unpopular political move.

Handing Team NZ more money would also be handing the opposition a club to beat them up with for the next three years.

If Team NZ can't put together a campaign, you've got to wonder if any of the other commercially-funded challengers can either. When Cup organisers were talking up the commercial benefits of Bermuda, what they really mean was that it was more financially viable for the events authority and defender, rather than the challengers.

Curiously, given all the talk around Bermuda's appeal to broadcasters, America's Cup commercial director Dr Harvey Schiller was vague when asked where he was at in his discussions with TV networks.

If the decision was really based around broadcast-friendly time zones, then organisers should have presented a comprehensive broadcast package to counter-balance the questions over the suitability of the venue and lack of infrastructure.