Fox Corp, ESPN from Walt Disney, and Warner Bros Discovery are reportedly teaming up to launch a sports streaming service in the coming autumn, aiming to engage younger audiences who are less reliant on traditional television.
Announced on Tuesday, the collaboration between the three media giants seeks to leverage their extensive portfolio of professional and collegiate sports rights, which encompass a wide range of events including the NFL, NBA, MLB, FIFA World Cup, and college competitions, as per Reuters.
The service, yet to be named, will offer a comprehensive package of programming integrating television channels like ESPN, TNT, and FS1, along with streamed sports content. Subscribers will have the option to include it in their streaming bundle from Disney+, Hulu, or Max.
Disney CEO Bob Iger emphasized the significance of the collaboration, stating, “This means the full suite of ESPN channels will be available to consumers alongside the sports programming of other leaders.”
Contrary to speculation, the new sports-centric service is intended to complement rather than replace Disney’s flagship ESPN television network or Fox’s FS1, according to sources cited in the Reuters report.
Discussions among the CEOs about such a collaboration have been ongoing for some time, indicating a strategic move to adapt to evolving consumer preferences.
The joint venture will be equally owned by the three media companies, with each having equal representation on the board. They will agree to license their sports content on a non-exclusive basis, with an independent management team overseeing operations.
Last year, Iger had expressed Disney’s commitment to retaining ESPN while exploring partnerships and investment opportunities, underscoring the company’s vision to transition the network to the digital realm.