The sports streaming platform Fubo announced that, after failing to reach an agreement with Warner Bros. Discovery for its networks including Discovery, HGTV, Food Network and TLC, among others, and to obtain license rights for its Turner sports networks TNT, TBS and truTV, both companies will cut ties. In a corporate statement, Fubo described Warner refusing to “engage in good faith negotiations as another example of its abuse of massive market power that ultimately limits consumer choice.”
Fubo also explained that it “offered Warner Brothers Discovery market rates for its content and, despite Fubo’s efforts to negotiate in good faith, Warner Brothers Discovery did not provide any counteroffer, and insisted on continuing to offer us above-market rates for its content.”
The streamer further stated that Warner has also denied its customers the choice of subscribing to their Turner sports content separately from Discovery content through a more affordable skinny sports bundle. “Warner Bros. Discovery's refusal to offer Fubo standard market terms and packaging flexibility are more examples of the unfair and anti-competitive practices it and other vertically integrated media companies have imposed on Fubo for many years. These practices, outlined in our recent antitrust lawsuit filed against the joint venture companies, aim to monopolize the market, stifle any form of competition, create higher pricing for subscribers and cheat consumers from deserved choice. Fubo is taking action against these unfair market terms to avoid passing on these extra costs to consumers,” the company shared.
Fubo ended its negotiations with WBD after a preliminary injunction hearing was scheduled for August 9 regarding its legal claims against Fox, Disney, and WBD. The sports streamer filed an antitrust lawsuit in February, claiming that the companies “leveraged their iron grip on sports content to extract billions of dollars in supra-competitive profits.” DirecTV and Dish followed suit, supporting Fubo's claims.
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