In a recent development in the world of sports streaming, Disney’s CEO Bob Iger, Fox’s Lachlan Murdoch, and Warner Bros Discovery’s David Zaslav have been summoned for answers about their proposed joint sports streaming service. Representatives Jerry Nadler (D-NY) and Joaquin Castro (D-TX) are pressing for detailed responses regarding the service’s impact on access, competition, and consumer choice within the sports streaming market. They demand the Department of Justice be included in the loop, emphasizing the heightened scrutiny on this venture.
This initiative, which has already sparked concerns of anticompetitive behavior, has been humorously dubbed “Spulu” by industry insiders, a nod to Hulu’s collaborative roots. The Congressmen’s letter outlines 19 probing questions, seeking clarity on aspects ranging from subscriber projections to pricing strategies, and even the licensing dynamics among the involved giants. They are particularly interested in how this alliance will handle bids for sports content and pricing transparency to ensure fair competition.
Adding fuel to the fire, Fubo, another sports-centric streaming service, has already filed a lawsuit against this potential mega-streaming entity, with CEO David Gandler leveling serious accusations of anti-competitive conduct. This legal action underscores the broader industry resistance to this potential behemoth.
While the specifics of the service remain under wraps, Murdoch hinted at a possible $50 monthly fee and a projected 5 million subscribers over five years. This venture aims to forge a powerful sports streaming platform using 14 linear network feeds from Disney, Fox, and Warner Bros Discovery, covering major leagues like the NFL, NBA, NHL, and MLB. Notably absent are heavyweights Paramount Global and NBCUniversal, pointing to gaps that Netflix, Amazon Prime Video, and AppleTV+ might exploit as they delve into live sports.
As Disney, Fox, and Warner Bros Discovery prepare their responses, the entire sports streaming landscape waits with bated breath. How will this bold collaboration reshape the way we consume live sports? Only time will tell.
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(Source: Deadline)
