Walt Disney Co., Fox Sports and Warner Bros. Venu, Discovery’s proposed sports-focused streaming venture, will likely never see the light of day.
The partners said Friday they had decided not to proceed with the service, days after a lawsuit blocking it was resolved.
“After careful consideration, we have collectively agreed to discontinue our Venu Sports joint venture and not launch a streaming service. In an ever-changing market, the two companies said in a joint statement, “We decided it was best to meet the evolving needs of sports fans by focusing on our existing products and distribution channels.”
Venu was announced in 2024 as a slim streaming package that offers channels like ESPN, TNT, ABC, and Fox Sports, which carry a variety of major live sporting events. Priced at $42.99, it was aimed at younger fans reluctant to pay for a traditional cable TV package.
Fubo, a New York-based company that provides similar services, went to court to block Venu, claiming it was anti-competitive. A federal judge agreed, temporarily halting the service and ruling last August that Venu would “substantially reduce competition and restrict trade.”
A legal challenge was dismissed Monday after the Walt Disney Co. agreed to merge Fubo with its Hulu Live TV service. Disney, Warner Bros. Discovery and Fox also announced that Fubo would receive $220 million.
Disney said Fubo will offer a new package that includes ABC and ESPN channels and will likely replace the current Venu. ESPN also plans to offer a direct-to-consumer option later this year that will give consumers access to its channels without a pay TV subscription.
Wall Street analysts were lukewarm on Venu. It was pointed out that die-hard sports fans are willing to pay for a traditional TV subscription that provides them with all the channels and events. Venu will still require consumers to find a way to watch sports programming at outlets owned by Comcast and Paramount Global, which carry NFL packages.
Venu also received a Warner Bros. When Discovery lost its NBA game package to Amazon’s Prime Video and Comcast, it started to look less affordable.
