ESPN, Fox and Warner Bros. Discovery to launch joint sports streaming platform this year

Walt Disney‘s ESPN, Fox and Warner Bros. Discovery plan to launch a joint sports streaming service this fall, giving consumers a new way to access marquee live sports for the first time, the companies said Tuesday.

The platform, which will be owned by a newly formed company with its own leadership team, does not yet have a name or a price. Disney, Fox and Warner Bros. Discovery will each own a one-third stake.

Consumers would be able to subscribe directly via a new app. Subscribers would also have the ability to bundle the product with the companies’ streaming platforms Disney+, Hulu and Max.

The product will be a skinnier bundle of linear networks than a standard cable offering, specifically tailored for sports fans. It will consist of all the broadcast and cable networks owned by Disney, Fox and Warner Bros. Discovery that carry sports, along with ESPN+.

From Disney, that includes ESPN and its sister networks, such as ESPN2, ESPNU, SECN, ACCN, ESPNEWS, as well as the ABC broadcast network. Warner Bros. Discovery’s networks that showcase sports are TNT, TBS and TruTV. Fox will include the Fox broadcast station along with FS1, FS2 and BTN.

“The launch of this new streaming sports service is a significant moment for Disney and ESPN, a major win for sports fans, and an important step forward for the media business,” Disney Chief Executive Officer Bob Iger said in a statement. “This means the full suite of ESPN channels will be available to consumers alongside the sports programming of other industry leaders as part of a differentiated sports-centric service.”

The launch of the product will not stop ESPN from offering a full direct-to-consumer streaming product, which Disney is still researching, according to a person familiar with the matter. ESPN has previously said it plans on releasing that product this year or next year.

The competitors expect to form the joint service at a time when the value of sports media rights is spiking, but viewers have moved away from watching on traditional cable.

Disney, in particular, has suffered from a shift away from its ESPN network, and sought new ways to revive the business, including searching for strategic partners such as the National Football League and the National Basketball League.

This is breaking news. Please check back for updates.