Lawyers representing Fubo, a streaming service, have argued in a U.S. district court that the company will be forced into insolvency if the ESPN–Warner Bros. Discovery–Fox joint venture Venu Sports is allowed to launch. They are requesting the court to issue a temporary injunction to halt the venture’s launch.
Fubo previously filed an antitrust lawsuit against the proposed launch of Venu, and a hearing on August 13, 2024, marked a significant step in the legal battle. The immediate focus of the decision is whether a preliminary injunction should be issued to potentially delay or completely prevent the launch of Venu.
Fubo’s legal team claimed that the backers of Venu have engaged in anti-competitive practices for an extended period, not just in relation to the Venu offering. They argued that these actions have hindered Fubo’s ability to create a commercially successful “skinny” sports package for consumers, placing the company in a precarious financial position.
They stated that Fubo would face insolvency if no action is taken, while arguing that Venu would not experience significant harm if an injunction were issued and the case moved to trial.
Venu countered by stating that Fubo’s financial situation is not their concern, and they have the right to distribute, bundle, and sell their offerings as they see fit. They also argued that the figures Fubo presented in court do not actually demonstrate any harm. They cited midpoint estimates of subscriber count and revenue projections, indicating that Fubo would likely see growth even after Venu launches around September 1, 2024.
Venu is also facing concerns from lawmakers, including calls for the FCC and Department of Justice to investigate the venture. DirecTV and Dish have also voiced their support for Fubo in the matter.