Disney engages in preliminary talks with major sport leagues to possibly explore strategic partnership: report

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Disney engages in preliminary talks with major sport leagues to possibly explore strategic partnership: report
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ESPN has reportedly spoken to the NBA, NFL and MLB about strategic partnerships that could involve the sports leagues owning a stake in the sports network, according to CNBC.

have engaged in preliminary discussions about the possibility of a deal that would bring major American professional sports leagues on as minority investors, according to a report from CNBC.and ESPN President Jimmy Pitaro are believed to have been involved in the talks with the NBA, NFL and MLB, CNBC reported, citing a person with knowledge of the situation.

. TNT, which is owned by Warner Bros. Discovery, holds the broadcasting rights to a sizable NBA package, while ESPN handles the broadcasts for a considerable amount of regular and postseason NBA games.DISNEY CEO REJECTS INVESTOR CALLS TO SPIN OFF ESPN Disney CEO Bob Iger attends an NBA game between the Los Angeles Clippers and the Phoenix Suns at Crypto.com Arena in Los Angeles on April 20, 2023.

ESPN's business model has primarily relied on cable subscribers, but Disney seems to want to pivot as traditional cable subscriptions continue to decline nationwide. Live sporting events still typically yield strong ratings for ESPN, which could be one of the reasons behind the pursuit of a possible partnership with the leagues.

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