Major League Baseball and ESPN have reignited discussions about a revised media rights agreement, several months after both parties exercised their option to terminate their existing contract.
According to reports from The Athletic, these negotiations are still in their infancy, concentrating primarily on aspects of ESPN's previous broadcasting package, which included crucial local rights. The previous deal, valued at $550 million annually, granted ESPN the rights to broadcast “Sunday Night Baseball,” the Home Run Derby, and a selection of postseason games. This agreement is scheduled to expire in October if a new one isn't finalized.
Both MLB and ESPN have declined to comment publicly on the ongoing talks. The initial opt-out was initiated by ESPN in February, citing concerns over the cost of rights fees. MLB swiftly followed suit, opting out as well. Commissioner Rob Manfred subsequently criticized ESPN's coverage of the sport outside of live game broadcasts, referring to the network in a memo obtained by The Athletic as a “shrinking platform.”
Despite the apparent rift, ESPN Chairman Jimmy Pitaro has indicated a continued interest in maintaining a partnership with MLB, especially regarding its planned direct-to-consumer platform. Manfred has also expressed a preference for continuing their relationship, but under altered terms.
This season, “Sunday Night Baseball” has seen an eight percent increase in viewership. The availability of rights, encompassing “Sunday Night Baseball” and early playoff rounds, has attracted interest from other companies, including Apple TV+ and NBC.
MLB aims to secure short-term agreements by mid-July to guarantee coverage through the 2028 season, when its national rights agreements with Fox and Warner Bros. Discovery are slated to expire. Manfred has hinted at a restructuring of MLB’s media rights strategy beyond 2028, potentially merging national and local packages into a unified system. In this potential restructuring, ESPN is reportedly among the companies being considered for MLB.TV distribution.