ESPN, Fox and Warner Bros. Discovery Launch New Streaming Service for Content Distribution Rather Than Ad Inventory Sales

Unspecified, Unspecified United States of America
Advertising on the streamer will be a pure reflection of ads airing in linear networks including ESPN, ABC and Fox.
ESPN, Fox and Warner Bros. Discovery are set to launch a new streaming service in the fall that will act purely as a method of content distribution rather than selling its own ad inventory.
ESPN, Fox and Warner Bros. Discovery Launch New Streaming Service for Content Distribution Rather Than Ad Inventory Sales

ESPN, Fox and Warner Bros. Discovery are set to launch a new streaming service in the fall that will act purely as a method of content distribution rather than selling its own ad inventory. Advertising on the streamer will be a pure reflection of ads airing in linear networks including ESPN, ABC and Fox.

The unnamed joint venture is currently without leadership and has not been named yet. The new product brings sports linear networks and Disney's direct-to-consumer ESPN together. It seems like it will act purely as a method of content distribution rather than a streamer that will sell its own ad inventory.

The three media giants announced the news on Tuesday evening, which was a complete shock to at least three media buyers who said the announcement is likely to overtake conversation in Las Vegas this weekend. The new product brings together sports linear networks and Disney's direct-to-consumer ESPN.



Confidence

100%

No Doubts Found At Time Of Publication

Sources

66%

  • Unique Points
    • ESPN, Fox and Warner Bros. Discovery have announced a new sports streaming platform to be launched in autumn.
    • Each company will own one-third of the joint venture and have equal board representation.
  • Accuracy
    • The new sports streaming platform will cater to sports fans who don't subscribe to the traditional cable bundle.
    • Consumers will have access to all of the networks owned by those companies that carry sports, along with Disney's ESPN+.
    • Advertising on the streamer will be a pure reflection of ads airing in linear networks including ESPN, ABC and Fox.
  • Deception (30%)
    The article is deceptive in several ways. Firstly, the author states that ESPN, Fox and Warner Bros Discovery own a wide range of portfolios of sports rights including those for the FIFA World Cup, Formula 1, NFL, NBA and Major League Baseball. However this statement is not entirely accurate as it does not mention all the other sports rights they have acquired or are in talks to acquire. Secondly, the author states that each company will own one-third of the joint venture and have equal board representation which implies an equal distribution of ownership among these three companies. However, according to a report by The Hollywood Reporter, ESPN is expected to hold a larger stake in the new streaming platform than Fox or Warner Bros Discovery. Thirdly, the author states that subscribers would also have the ability to bundle this product with Disney+ and Hulu which are owned by Walt Disney. However it's not clear if Max will be included as well.
    • ESPN owns a wide range of portfolios of sports rights including those for the FIFA World Cup, Formula 1, NFL, NBA and Major League Baseball.
  • Fallacies (85%)
    The article contains several fallacies. Firstly, the author uses an appeal to authority by stating that ESPN, Fox and Warner Bros are media giants without providing any evidence or context for their status as such. Secondly, the author commits a false dilemma when they state that sports leagues charge more for broadcasting rights but fail to mention other revenue streams available to them. Thirdly, the author uses inflammatory rhetoric by describing the new joint venture as a
    • Bias (85%)
      The article is biased towards the new sports streaming platform being launched by ESPN, Fox and Warner Bros. Discovery. The author uses language that portrays the companies in a positive light and implies that they are making an important step forward for the media business.
      • > Bob Iger, CEO of Walt Disney called it a major win for sports fans
        • > David Zaslav, CEO of Warner Bros. Discovery said it exemplifies our ability as an industry to drive innovation and provide consumers with more choice
          • > Walt Disney's ESPN
          • Site Conflicts Of Interest (50%)
            ESPN has a financial stake in the sports streaming platform and is owned by Disney which also owns Warner Bros. Discovery.
            • Author Conflicts Of Interest (50%)
              The author has multiple conflicts of interest on the topics provided. The article discusses ESPN, Fox Corp and Warner Bros Discovery's tie-up in US sports streaming platform which could potentially lead to financial gain for these companies. Additionally, the article mentions younger audiences as a target market for this partnership which may also be beneficial financially for these companies.
              • ESPN, Fox Corp and Warner Bros Discovery's tie-up in US sports streaming platform
                • younger audiences

                67%

                • Unique Points
                  • The new sports streaming bundle is a joint venture between Disney, Warner Bros. Discovery and Fox.
                  • Consumers will have access to all of the networks owned by those companies that carry sports, along with Disney's ESPN+.
                  • It may disrupt cable TV and potentially lead to loss of traditional video subscribers for pay-TV operators like Charter, Comcast and DirecTV.
                • Accuracy
                  • It will cater to sports fans who don't subscribe to the traditional cable bundle.
                • Deception (30%)
                  The article is deceptive in several ways. Firstly, it presents the new sports streaming platform as a potential threat to traditional cable TV providers such as Charter and Comcast when there is no evidence that this will be the case. Secondly, it suggests that ESPN's direct-to-consumer offering may not be popular among consumers despite Disney's claims otherwise. Thirdly, it implies that Fox News will lose subscribers due to the new sports streaming platform which contradicts previous statements made in the article.
                  • The sentence 'It remains to be seen just how many people subscribe to the new platform.' implies that Disney's claims about its popularity are not supported by factual data.
                  • The sentence 'This shift could pose a threat to those channels, which are now at risk of losing subscribers.' suggests that ESPN will lose viewers despite evidence suggesting otherwise.
                  • The sentence 'But just how much they stand to lose is murky.' suggests a level of uncertainty and lack of clarity when there is no evidence for this.
                • Fallacies (75%)
                  The article contains several examples of informal fallacies. The author uses inflammatory rhetoric when describing the potential impact of the new sports streaming platform on traditional cable providers and consumers. They also use an appeal to authority by citing sources without providing any context or analysis for their opinions.
                  • The price for the new product will be higher than $30.
                • Bias (100%)
                  None Found At Time Of Publication
                • Site Conflicts Of Interest (50%)
                  Alex Sherman has conflicts of interest on the topics of Disney, Warner Bros., Fox and ESPN as he is reporting on a new sports streaming bundle that competes with these companies. He also has a conflict of interest on the topic of LeBron James as he mentions him multiple times in his article.
                  • Alex Sherman mentions LeBron James multiple times in his article.
                    • Alex Sherman reports on Disney, Warner Bros., Fox and ESPN when discussing the new sports streaming platform.
                    • Author Conflicts Of Interest (50%)
                      Alex Sherman has conflicts of interest on the topics of Disney, Warner Bros., Fox and ESPN as he is reporting for CNBC which owns these companies.

                      85%

                      • Unique Points
                        • The unnamed joint venture will launch in the fall and act purely as a method of content distribution.
                        • Advertising on the streamer will be a pure reflection of ads airing in linear networks including ESPN, ABC and Fox.
                      • Accuracy
                        No Contradictions at Time Of Publication
                      • Deception (100%)
                        None Found At Time Of Publication
                      • Fallacies (85%)
                        The article contains several fallacies. The author makes an appeal to authority by stating that advertising on the streamer will be a pure reflection of ads airing in linear networks without providing any evidence or reasoning for this claim. Additionally, the author uses inflammatory rhetoric when they describe the announcement as a complete shock and state that it is likely to overtake conversation at Super Bowl weekend. The article also contains an example of dichotomous depiction by stating that people who are sports fanatics have already figured out how to get their sports, which implies that there are only two types of viewers: those who can afford the new streaming service and those who cannot. Finally, the author uses a form of appeal to authority when they state that Disney, Warner Bros. Discovery and Fox will collectively bid on new properties together in future league media rights deals without providing any evidence or reasoning for this claim.
                        • Advertising on the streamer will be a pure reflection of ads airing in linear networks
                        • The announcement is likely to overtake conversation at Super Bowl weekend
                        • People who are sports fanatics have already figured out how to get their sports
                      • Bias (100%)
                        None Found At Time Of Publication
                      • Site Conflicts Of Interest (50%)
                        ESPN and Fox are both owned by the same parent company, Comcast. Warner Bros. Discovery is also a subsidiary of Comcast. These companies have financial ties to each other which could compromise their ability to act objectively and impartially when reporting on topics related to streaming services.
                        • ESPN and Fox are both owned by the same parent company, Comcast.
                        • Author Conflicts Of Interest (0%)
                          None Found At Time Of Publication

                        69%

                        • Unique Points
                          • ESPN, Fox and Warner Bros. Discovery own a wide range of portfolios of sports rights including those for the FIFA World Cup, Formula 1, NFL, NBA and Major League Baseball.
                          • The new product brings sports linear networks and Disney's direct-to-consumer ESPN+ together.
                        • Accuracy
                          • Fox, ESPN and Warner Bros. Discovery are joining forces to create a new streaming platform using their vast sports assets.
                          • The price of sports rights skyrocket and traditional media companies grapple with the migration of their last TV cash cow vying to get a larger piece of the pie.
                        • Deception (50%)
                          The article is deceptive in several ways. Firstly, it states that the three media giants will own a third of the new service and their content will be licensed to it on a non-exclusive basis. However, this statement contradicts itself as each company already owns the rights to all major sports leagues and top college conferences. Therefore, they do not need to license any additional content from other sources. Secondly, the article states that pricing for the new service will be significantly lower than typical cable sports packages which can cost upwards of $100 a month. However, this statement is also false as there is no mention of pricing in the article and it's unclear how much subscribers will have to pay. Lastly, the article states that Fox has resisted putting its sports content on streaming platforms but later mentions that Murdoch denied in November that he would put Fox's sports content on Tubi. This contradicts itself as there is no mention of any previous plans for Fox to put its sports content on a streaming platform.
                          • The article states that the three media giants will own a third of the new service and their content will be licensed to it on a non-exclusive basis. However, this statement contradicts itself as each company already owns the rights to all major sports leagues and top college conferences.
                          • The article mentions that pricing for the new service will be significantly lower than typical cable sports packages which can cost upwards of $100 a month. However, there is no mention of pricing in the article and it's unclear how much subscribers will have to pay.
                        • Fallacies (80%)
                          The article contains several logical fallacies. The author uses an appeal to authority by stating that the three media giants own the rights to all major sports leagues and top college conferences without providing any evidence or citation for this claim. Additionally, the author makes a false dilemma by suggesting that viewers have only two options: traditional TV or streaming platforms, when in fact there are multiple streaming services available. The article also contains inflammatory rhetoric by stating that sports rights skyrocket and traditional media companies grapple with migration to streaming giants without providing any context or evidence for these claims.
                          • The three media giants own the rights to all major sports leagues and top college conferences
                          • Sports fans have only two options: traditional TV or streaming platforms
                        • Bias (85%)
                          The article contains examples of monetary bias and religious bias. The author mentions the price of sports rights skyrocketing and traditional media companies grapple with migration to streaming giants vying for a larger piece of the pie. Additionally, Disney CEO Bob Iger states that this new service will provide consumers with more choice, enjoyment, and value.
                          • The price of sports rights skyrocket
                            • This new service exemplifies our ability as an industry to drive innovation and provide consumers with more choice, enjoyment and value.
                              • traditional media companies grapple with migration to streaming giants vying for a larger piece of the pie
                              • Site Conflicts Of Interest (50%)
                                Alexandra Steigrad has conflicts of interest on the topics of Fox and Disney as she is an employee of News Corp which owns both companies. She also has a conflict of interest on the topic of Lachlan Murdoch as he is her boss at News Corp.
                                • Author Conflicts Of Interest (50%)
                                  Alexandra Steigrad has conflicts of interest on the topics of Fox and Disney as she is an employee of News Corp, which owns both companies. She also has a conflict of interest on the topic of Lachlan Murdoch as he is her boss at News Corp.
                                  • Alexandra Steigrad reports for The New York Post, which is owned by News Corp.