A federal judge on Friday halted plans by Walt Disney Co., Fox Inc. and Warner Bros. Discovery to launch a new sports streaming platform, saying FuboTV is likely to succeed in proving its argument that the partnership is anti-competitive.
In her ruling, U.S. District Judge Margaret Garnett in New York said a temporary injunction blocking the new streaming venture was appropriate.
Fubo argued in its February 20 lawsuit that the proposal would “destroy competition and drive up prices for consumers.”
Earlier in February, Fox, Disney’s ESPN and Warner Bros. Discovery revealed plans to launch a sports streaming service, later named Venu Sports, in an effort to attract younger viewers.
In a statement, the three companies said they believe Fubo’s claims are false and will appeal the court’s decision.
“Venu Sports is a pro-competitive option designed to increase consumer choice by reaching audience segments underserved by existing subscription options,” they said.
Representatives for the other parties did not immediately respond to requests for comment Friday.
Venu Sports announced earlier this month that it plans to launch in the U.S. this fall with a wide range of sports programming, including 14 live sports channels and a content library. The company says it hopes to have 5 million subscribers within five years of launch.
