The St. Louis Cardinals and Diamond Sports Group have announced a new multi-year media rights agreement. This deal keeps Diamond as the team's exclusive local broadcaster while adding a key element: direct-to-consumer streaming options. This marks a significant shift in how fans can access Cardinals games.
According to Cardinals President Bill DeWitt III, a key aspect of this agreement is a reduction in rights fees. He stated that the agreement reduces rights fees by approximately 20% compared to previous terms. This reflects the changing media landscape and the challenges faced by regional sports networks.
FanDuel Sports Network Midwest, formerly known as Bally Sports Midwest and Fox Sports Midwest, will remain the primary broadcaster for Cardinals games not shown on national networks. The network will continue to provide pre- and post-game coverage, along with original programming. This ensures continued familiar coverage for dedicated fans.
A significant development is the introduction of direct-to-consumer streaming. Fans will be able to stream games directly, offering greater flexibility. Pay TV subscribers can also access the stream through the FanDuel Sports Network app using their provider credentials. Pricing details for the standalone streaming service are yet to be released.
“We valued the continuity for our fans of staying on the same network as the Blues,” DeWitt said, highlighting the importance of maintaining familiar viewing options for their fanbase.
Diamond Sports Group CEO David Preschlack commented that the company is actively engaged in discussions with other MLB teams as it navigates its emergence from bankruptcy protection. This deal demonstrates their commitment to retaining key partnerships.
This agreement arrives amidst significant restructuring for Diamond Sports Group. The company filed for Chapter 11 bankruptcy protection in March 2023 after experiencing financial difficulties stemming from declining cable subscriptions. Diamond’s acquisition of its regional sports networks portfolio from Disney in 2019 for $10.6 billion, through parent company Sinclair Broadcast Group, now necessitates this significant restructuring.
The Cardinals' partial ownership of FanDuel Sports Network Midwest, through a joint venture, played a crucial role in keeping this relationship separate from Diamond’s bankruptcy proceedings. This unique arrangement facilitated a smoother negotiation process.
Diamond’s remaining MLB team agreements are scheduled for review in November as part of the company’s bankruptcy exit plan. Sinclair Broadcast Group is anticipated to withdraw its involvement with the regional sports networks pending court approval, marking a significant change in ownership and structure.