Disney Cans Ambitious Sports Streaming Venture as Hulu and Disney+ Become Key Players
In a move that will have significant implications for sports fans and streaming companies alike, three major media conglomerates - Disney, Fox, and Warner Bros. Discovery - announced on Friday that they would scrap their ambitious plans for Venu Sports, a bundled sports streamer expected to launch later this year.
The joint venture, which would have offered subscribers access to all sports from 14 different TV networks, including ESPN, Fox Sports, and others, had been touted as a game-changer for the sports-media industry. However, after months of development, the companies have decided to focus on existing products and distribution channels, citing an evolving marketplace that requires more streamlined and manageable solutions.
According to a statement from the companies, they will "continue to explore ways to provide fans with access to their favorite sports content, but at this time, we will not be launching Venu Sports." The move comes just weeks before the launch of Venu, which was timed to coincide with the start of the 2024 NFL season.
In August, a judge had already blocked the launch of Venu due to concerns that it would "substantially lessen competition and restrain trade." Fubo, a smaller streaming service with a heavy tilt into sports, had claimed that Venu's inclusion in a bundle would harm its own business. The decision was reversed after Disney agreed to take a 70% stake in the company and integrate Fubo's live-TV product into Hulu.
The move by Disney is seen as a strategic shift in focus towards its existing streaming platforms, including Hulu and Disney+. With ESPN expected to launch a stand-alone streamer called "Flagship" later this year, fans who want access to multiple sports channels can opt for various subscription options. Industry insiders believe that the door has been closed on Venu, marking an uncertain future for the ambitious project.
The impact of Disney's decision will be closely watched by industry analysts and stakeholders alike, with implications extending beyond the sports streaming space.