Disney’s ESPN has shown interest in the major professional sports leagues. ESPN is reportedly keen on these leagues, NBA, NFL, MLB, purchasing equity positions in the network.
Disney and its subsidiary company ESPN have been in talks with the major leagues over the ownership. The Chief Executive of Disney, Bob Iger and ESPN’s President, Jimmy Pitaro, have held preliminary discussions with the NFL, NBA and MLB.
However, league officials and Disney executives have not yet solidified any new ventures. The NBA and MLB have both put questions on the relationship with ESPN, if Disney’s objective is to reduce or replace payments to leagues for sports broadcast rights with shares in ESPN.
ESPN will be working to renew its rights agreement with the NBA. In April 2024, the official window of negotiation between NBA and Disney will end.
The Media giant has lost millions in the recent quarter and is looking for ways to pay off and balance its sheet. Disney could potentially save billions by approving a deal where ESPN exchanges shares for sports rights.
The money accumulated by Disney could be used in its other strategic ventures.
Bob Iger said, "We’re looking for partners that are going to help ESPN successfully transition to a [direct-to-consumer] model.
"And that, as I’ve said, can come in the form of either content or distribution and marketing support or both."
An NBA spokesperson said: “We have a longstanding relationship with Disney and look forward to continuing the discussions around the future of our partnership."
