Game Start!
In a surprising move that changes the landscape of how fans watch their favorite teams, Fox, ESPN and Warner Bros. Discovery are using their vast sports assets to launch new streaming platforms to compete with Amazon and Apple. We’re working together to build it.
The three media giants announced Tuesday that the unnamed standalone service will launch in the fall and be available to ESPN+, Hulu and Max subscribers.
Each company owns the rights to all major sports leagues and top college conferences and will own one-third of the new service, with content licensed on a non-exclusive basis.
The move comes as sports rights prices soar and traditional media companies scramble to grab a bigger piece of the pie, the last TV cash cow that generates strong, stable viewership and the advertising dollars that come with it. It comes as the streaming giant grapples with its transition. . Even Netflix recently signed a 10-year, $5 billion deal to be the exclusive home of World Wrestling Entertainment.
The three companies have been in talks for six months, with the main goal of trying to bring back sports fans who have already cut ties.
“We are excited to bring the FOX Sports portfolio to this new and exciting platform,” said Lachlan Murdoch, executive chairman and chief executive officer of Fox Corp. “We believe this service will offer a variety of content to our avid fans outside of traditional bundles. Great sports content all in one place.”
“The launch of this new streaming sports service is a significant moment for Disney and ESPN, a huge win for sports fans, and an important step forward for our media business,” said Disney CEO Bob Iger. he added. This means the full suite of ESPN channels will be available to consumers alongside sports programming from other industry leaders as part of a differentiated sports-focused offering. ”
“This new sports service demonstrates our industry’s ability to drive innovation and provide consumers with more choice, fun and value,” said David Zaslav, CEO of Warner Bros. Discovery. “
The new service offers a vast array of sports content under one roof, including Disney-owned networks such as ABC, ESPN, ESPN2, ESPNU, SECN, BTN, ACCN and ESPNEWS. Fox and ESPN offer the biggest prizes: NFL games and the rights to Major League Baseball, as well as content from cable channels FS1 and FS2.
Warner Bros. Discovery offers NBA and NHL content through TNT, as well as rights to college basketball’s March Madness, which also airs on TBS and TruTV, and European soccer tournaments such as the Champions League .
The network also owns the rights to golf, tennis, NASCAR and F1.
Pricing will be announced at a later date, but will be significantly lower than typical cable sports packages, which can exceed $100 per month, the companies said.
Subscribers can also bundle their products with Disney+, Hulu, Max, and more, among others.
The big announcement comes as Disney considers strategic alternatives to ESPN, which is suffering from erosion in its cable TV subscriber base.
Disney is in talks with various sports leagues, including the NFL, about investing in ESPN.
As for Fox, the company has resisted putting sports content on its streaming platform. Mr. Murdoch in November denied plans to put Fox sports content on Tubi, the company’s streaming hub, saying, “We do not envision any significant live sports broadcasts on Tubi.”
Meanwhile, WBD is poised to launch a paid tier on its sports-dedicated Max streaming platform under the Bleacher Report brand, which broadcasts content from TBS, TNT, and truTV, and is currently being offered for free on Max on a trial basis. There is.
