The New Sports-Only Streaming Service Ignores Traditional Media's Biggest Problem
Apple didn't release the Vision Pro headset to show you Major League Soccer
What To Expect: Today’s newsletter examines the newly-announced sports streaming service between ESPN, Fox, and Warner Bros. Discovery. We talk through the long-term goal and why this doesn’t solve traditional media’s subsidization problem. Enjoy!
There is a saying in business that there are only two ways to make money: bundling and unbundling — and we are now seeing that play out in real time across sports.
Last Tuesday, ESPN, Fox, and Warner Bros. Discovery announced they were teaming up to launch a new sports streaming service this fall. The service will combine their media rights across the NFL, NBA, MLB, NHL, college football, golf, tennis, soccer, and motorsports into one package, offering consumers a sports-only bundle option.
The final price hasn’t been announced yet, but I expect it to be more expensive than ESPN+ ($11/month) and cheaper than YouTubeTV ($73/month). My guess is around $40/month, with the price escalating as media rights get more expensive.