Fubo is suing Disney, Fox, and Warner Bros. Discovery (WBD) over its upcoming sports streaming bundle venture, alleging that the move will stifle competition in the streaming industry.
Fubo TV is renowned for its live sports streaming services across the United States, Canada, and Spain.
Fubo Files Lawsuit Against Sports Streaming Venture
In a lawsuit filed on Tuesday, the New York-based company accused Disney, Fox, and WBD of engaging in "a years-long campaign to block Fubo's innovative sports-first streaming business resulting in significant harm to both Fubo and consumers."
Disney's ESPN and Hulu are also implicated in the lawsuit, which targets the companies' plan to establish an all-in-one streaming platform for sports, alleging violations of antitrust laws.
Fubo seeks to halt the joint venture or impose restrictions on the defendants before the venture proceeds, including achieving economic parity in licensing terms and seeking substantial monetary damages.
As of writing, the company has not specified the amount of damages sought, but it estimates the total to be in the billions of dollars.
Disney, Warner, Fox Reveal Joint Venture for Sports Streaming
Earlier this month, three major streaming companies announced a joint venture to create a unified streaming platform for sports. This platform will include ESPN, ESPN2, ESPNU, SECN, ACCN, ESPNEWS, ABC, Fox, FS1, FS2, BTN, TNT, TBS, truTV, and ESPN+.
Additionally, games from the NFL, NBA, MLB, NHL, and other college divisions will be featured on the upcoming platform.
Fubo alleges that the companies have been leveraging their dominance in sports content to extract billions of dollars in competitive profits. The company further claims that if the venture proceeds, it will hinder Fubo's ability to compete fairly in the marketplace.
The companies are also accused of engaging in other anticompetitive behaviors, such as charging Fubo higher content licensing rates compared to other distributors.
"This strategy ensures that consumers desiring a dedicated sports channel lineup are left with no alternative but to subscribe to the Defendants' joint venture," stated Fubo CEO David Gandler.
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