The NRL and its broadcasting partners are closing in on a new deal that will extend the league's network partnership for a further three years, according to The Sydney Morning Herald.

Channel Nine and Fox Sports are believed to have finalised negotiations on the extension, a deal that will be seen as a major reduction compared to the current $325 million-a-year contract.

ARLC chairman Peter V'landys, Nine CEO Hugh Marks and Foxtel head Patrick Delany all met on Tuesday to discuss the game's immediate broadcasting future before Wednesday's innovation committee meeting.

The NRL is believed to be willing to suffer long term pain in hope of short term success following the fallout of the coronavirus pandemic, with Fox Sports and Nine reportedly set to sign off on a new five year deal.

The league will look to further slash considerable finances from their budget, having already started from the top. Nine had described the brow of the league hierarchy to be "a bloated head office", and the league was soon to act this week, parting ways with chief executive Todd Greenberg.

Both Fox Sports and Nine's current deal with the NRL sits at a total of $1.8 billion as part of the current broadcasting contract, but now both parties intend on renegotiating with the league that will see a cheaper price agreed from 2023 and 2025.

It is understood there will be a strong inclination for clubs to receive more power from the new negotiations, with the current model potentially altered to one that would work similarly to the English Premier League.

This could mean clubs would receive their standard $13 million in distribution grants each season with or without reductions to the league's current $10 million salary cap.

V'landys immediately outlined the prospect of looking into a larger broadcast deal in his first press conference as ARLC chairman in October, initially hoping to strike a deal come the next negotiation window.

"To me, that is the most important aspect, to ensure the game stays viable. If you’re not viable, you’re nowhere. It’s critical we continue to get the revenues we’re getting," V'landys said.

Given the current circumstances, V'landys has been forced to drastically change his outlook on the league's broadcasting future finances, allowing aid to the current market that will allow an increase in cash flow over time.

The ARLC chairman and current interim chief executive Andrew Abdo flew to the US to meet with corporate giants Google, Amazon and Facebook two months ago to plan the league's future broadcasting strategy.

The meeting could see a dramatic change to the league's current streaming rights between Fox Sports and Nine, with Telstra currently sub-licensed to digital rights for approximately $20 million per season.

Nine's push for a more exclusive slice could ultimately effect the league's streaming rights hopes for the future as agreements remain in the balance. facing broadcast pay cut with Nine and Fox Sports