FuboTV Takes Legal Action Against ESPN, Warner, and Fox Sports

February 26, 2024 : Sports-focused streaming platform FuboTV has launched an antitrust lawsuit targeting a planned joint venture between media giants Walt Disney, Fox Corporation, and Warner Bros. Discovery. The lawsuit in the United States District Court for the Southern District of New York seeks to block the planned collaboration in the sports-streaming arena.

FuboTV contends that the joint venture would stifle competition and establish an unfair advantage for the three media titans. The complaint further alleges a “years-long campaign” by the companies to hinder FuboTV’s growth through anti-competitive practices. FuboTV specifically asserts that the planned streaming service “steals Fubo’s playbook,” constituting the latest escalation in a campaign to obstruct Fubo’s success.

The lawsuit also expresses concerns that the collaborative venture could diminish incentives for the three networks to license their channels to other distributors, including FuboTV. Moreover, the suit alleges the venture could lead to inflated rates for FuboTV, potentially placing the service at a competitive disadvantage.

FuboTV’s CEO, David Gandler, characterized the lawsuit as reactive, stating, “This is the straw that broke the camel’s back.” He emphasized the joint venture’s impact on independent distributors like FuboTV, which rely on licensing agreements to provide their customers with diversified sports programming options.

Beyond the injunction sought against the planned streaming service, FuboTV is also pursuing unspecified punitive damages. Representatives from ESPN declined to comment on the suit, while Fox and Warner Bros. Discovery have yet to provide an official response. The lawsuit marks a significant event in the highly competitive streaming landscape and could have far-reaching implications for legacy media companies and independent distributors.