Negotiations for Warner Bros. Discovery’s NBA rights are currently ongoing as the league seeks media deals totaling over $76 billion. If Warner Bros. Discovery were to lose the NBA rights, it is estimated that the company could lose around $270 million in ad revenue annually, with a potential 45% decline in affiliate fees for its TNT subsidiary, according to Citigroup analyst Jason Bazinet.
Despite the potential losses, Venu Sports, the company’s new streaming venture in partnership with Disney and Fox, may be impacted to a lesser extent. This is because the platform has the flexibility to fill programming gaps with other sports content.
Insiders closely involved with the venture have stated that the outcome of the NBA negotiations will not affect the launch of the offering. The platform is currently scheduled for a fall launch pending regulatory approval and final agreements with the parties involved.