Venu Sports, the proposed sports-focused streaming service backed by ESPN Inc., Fox Corporation, and Warner Bros. Discovery, has been shuttered. Originally slated for launch in 2024, the joint venture aimed to introduce a unique virtual multichannel video programming distributor (MVPD) service to the U.S. market.
However, as of January 10, the three partners announced that the project will be discontinued, halting any further development of the service.
In a joint statement, the companies said, “After careful consideration, we have collectively agreed to discontinue the Venu Sports joint venture and not launch the streaming service. In an ever-changing marketplace, we determined that it was best to meet the evolving demands of sports fans by focusing on existing products and distribution channels. We are proud of the work that has been done on Venu to date and grateful to the Venu staff, whom we will support through this transition period.”
The service, which was to feature primarily sports content with limited entertainment and news offerings, was intended to be available both as a standalone product and as part of a bundle with other popular streaming platforms like Disney+, Tubi, Hulu, Max, or ESPN+.
The development was on expected lines in the wake of Disney’s recent agreement to merge its Hulu + Live TV business with the sports-first live TV streaming platform FuboTV Inc., forming a new virtual MVPD.
The acquisition announcement, had come a year after FuboTV had filed an antitrust lawsuit against The House of Mouse, WBD and Fox following the announcement of their joint plans to create the Venu Sports MVPD.
The acquisition will on completion position Disney as the majority owner of the newly combined company.
In conjunction with the announcement, Fubo separately settled all litigation related to Venu Sports with Disney, FOX and WBD.
At the signing of the deal, Disney, Fox and WBD have jointly agreed to make an aggregate cash payment to Fubo of $220 million.
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