The proposed streaming joint venture between Disney, Fox, and Warner Bros. Discovery has been officially abandoned. The companies announced their decision on Friday, stating that they had collectively agreed to discontinue the Venu Sports joint venture and would not launch the planned streaming service.
This follows a significant development earlier in the week. Independent platform FuboTV dropped its legal challenge after reaching a $220 million settlement with Disney. As part of the agreement, FuboTV will merge its operations with Disney’s Hulu with Live TV to create a new entity, with Disney holding a 70% stake. FuboTV was initially slated to operate the Venu Sports streaming service.
The joint statement from Disney’s ESPN, Fox, and Warner Bros. Discovery explained: “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.”
While potential legal challenges from DirecTV and Echostar contributed to the decision, the companies also cited shifts in market conditions and the rise of the so-called "skinny bundle" as influencing factors.