Disney, Fox, and Warner Bros. Discovery have decided to cancel their plans to launch Venu, a sports streaming service that was intended to combine their live sports assets. The decision was made in response to the evolving demands of sports fans and a legal challenge from Fubo claiming the platform would be anticompetitive. The companies control a significant portion of U.S. sports media rights, and the judge on the antitrust case raised questions about the legality of cable bundling. This prompted Disney to strike a deal with Fubo, who would take majority control of the resulting company. The companies decided to pull the plug on Venu rather than risk a prolonged lawsuit that could jeopardize their bundling efforts.
Disney is now focusing on the launch of ESPN “Flagship,” an all-inclusive streaming service slated for August 2025. The recent deal with Fubo and renewal with DirecTV will allow Disney to create new bundled offerings, including skinny bundles, which offer a smaller selection of channels for less money. This was the original idea behind Venu: selling fewer linear channels for a reduced price compared to traditional cable TV.
The decision to cancel Venu came as a shock to employees who believed they had a pathway to launch the service. Warner Bros. Discovery heavily relies on bundled carriage agreements for its cable networks, while Disney is focusing on expanding its streaming offerings, including ESPN and Hulu. The cancellation of Venu is a reflection of the complexities and challenges faced by major media conglomerates in the rapidly changing streaming landscape.
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