Disney Nearing Deal to Own One-Third of MLB's $3.5 Billion Digital Business

[MacRumors]

The Walt Disney Company is nearing a deal that will net it a one-third stake in Major League Baseball Advanced Media, the streaming division of MLB whose business is valued at around $3.5 billion (via Bloomberg). According to those close to the deal, an agreement between the two companies has not yet been officially finalized, but once it is the contract will allow Disney to purchase another 33 percent of MLB's digital sector over the next four years.

Disney currently owns ESPN, which has been reported recently to be facing troubles with its traditional, broadcast viewing numbers with the rise of streaming and web-only packages. WatchESPN offers viewers the option to watch live sports broadcasts on platforms like the Apple TV, as long as they have a cable package that includes ESPN's content channels.

Disney has also been a key Apple content partner over the years, due in large part to Disney's partnership with and ultimate 2006 acquisition of Pixar that made Steve Jobs the largest individual Disney shareholder and gave him a seat on the company's board. Long-standing rumors of Apple seeking to launch an over-the-top streaming television service have generally included Disney as one of the key early content partners on board with the project, although Apple has so far been unable to secure all of the deals it would need to launch the service at the price point it wants to hit.

Given that the deal between Disney and MLBAM is not yet official, there's no word yet on what the ultimate outcome of the acquisition would entail for the company's streaming services. Still, some knowledgable of the deal and the streaming sports world see the move as a way for Disney to continue to bolster ESPN's streaming offerings if MLBAM were to be rolled into the company's online video platforms.

"MLBAM has some great assets that could help ESPN build a robust over-the-top offering," said Bernard Gershon, a media consultant based in New York.

"You see the biggest sports media company moving to greater digital delivery," said Chris Russo, a former National Football League executive who now heads sports investment banking at Houlihan Lokey Inc. in New York. "It really shows they're trying to get ahead of the digital phenomenon rather than being left behind it."

Disney currently offers a number of its services as streaming options on the fourth-generation Apple TV, including Watch ABC, Disney Channel, Disney XD, Disney Jr, and Watch ESPN. MLB has also been a strong Apple content partner, with an advanced live streaming app being one of the key demos during the introduction of the fourth-generation Apple TV.

Article Link: Disney Nearing Deal to Own One-Third of MLB's $3.5 Billion Digital Business

 

[Orlandoech]

Disney owns the world. Crazy how much they own.

 

[cmChimera]

At what point do we admit that Disney is Skynet?

 

[Joe The Dragon]

NHL network and MLB network will now be forced to be part of the basic tv package and with ESPN cost you $10-$13 mo.

 

[ike1707]

At what point do we admit that Disney is Skynet?

When the animatronics leave the park and start slaughtering people?

 

[Drumjim85]

"Disney currently offers a number of its services as streaming options on the fourth-generation Apple TV"
​

Ah, There's the weak Apple tie in.

 

[cmChimera]

When the animatronics leave the park and start slaughtering people?

By then it'll be too late to stop them!

 

[JPLC]

I wish for more movies like Aladin, Lion King and Fantasia. Very confusing to see Disney invest in Sports while their trademark, groundbreaking animation, seems very far away.

 

[69Mustang]

I wish for more movies like Aladin, Lion King and Fantasia. Very confusing to see Disney invest in Sports while their trademark, groundbreaking animation, seems very far away.

Sports is the gift that keeps on giving... money that is. Theme parks and animation don't compete on that level.

 

[samcraig]

Sports is the gift that keeps on giving... money that is. Theme parks and animation don't compete on that level.

The can start asserting control over naming conventions. The San Diego Simbas. Atlanta Aladdins. Cincinnati Cinderellas...

 

[pat500000]

"it's a small world after all."

 

[KdParker]

By then it'll be too late to stop them!

It is probably already too late

 

[MacNut]

I thought MLBAM wanted to spin off into a separate company.

 

[Mac21ND]

When the animatronics leave the park and start slaughtering people?

You sir, win the internet for today.

 

[Dimer]

The connection of this news to Apple is tenuous, at best.

 

[SpiderDude]

MajorACquisitionRumours.com

It has always been there.
Don't come complaining now!

 

[madsci954]

When the animatronics leave the park and start slaughtering people?

You know, if it's Darth Vader cutting me down with his Lightsaber, I think I'd be okay with that.

 

[tjdragonflight]

Ok. Disney and Apple are linked by common shareholders. But many companies are linked the same. Are we now going to see news about Tesla on this blog now that Tim Cook is a director there? That piece is a stretch. It's out of topic. Sorry.

 

[ZMacintosh]

Ok. Disney and Apple are linked by common shareholders. But many companies are linked the same. Are we now going to see news about Tesla on this blog now that Tim Cook is a director there? That piece is a stretch. It's out of topic. Sorry.

Tesla? you mean Nike?

 

[vkd]

The Walt Disney Company is 100% demoniac. There are illicit images implanted in their films to pollute children's consciousness with sex desire and other perversions and have been there since the 1950s. What to speak of the insane idea of having a dead body put in cryogenics in the hope of the soul returning to in some unknown future. Disney was kicked out of his body and will most likely be suffering untold amounts of pain and anguish for his awful activities. A bright, colourful facade over the most rotten and putrid mentality to contaminate the world's infant population. How nasty and insidious is that?

Wake up, people. Hey, Americans! Dial a hitman and finish these great demons residing in your lands!

 

[2457282]

Sports is the gift that keeps on giving... money that is. Theme parks and animation don't compete on that level.

maybe they can start having sporting events at the theme parks. or have theme parks at the sporting events. It's all blurring...

 

[ZMacintosh]

The Walt Disney Company is 100% demoniac. There are illicit images implanted in their films to pollute children's consciousness with sex desire and other perversions and have been there since the 1950s. What to speak of the insane idea of having a dead body put in cryogenics in the hope of the soul returning to in some unknown future. Disney was kicked out of his body and will most likely be suffering untold amounts of pain and anguish for his awful activities. A bright, colourful facade over the most rotten and putrid mentality to contaminate the world's infant population. How nasty and insidious is that?

Wake up, people. Hey, Americans! Dial a hitman and finish these great demons residing in your lands!

... Are you running out of aluminum tin foil? how much weapons are you stockpiling...we can send help.

 

[JonneyGee]

Just give us a standalone subscription for WatchESPN already. C'mon, Disney — you know that's what we all want.

 

[vkd]

... Are you running out of aluminum tin foil? how much weapons are you stockpiling...we can send help.

Either brain dead or sleepwalking the choice is yours. Personally I prefer the sane, waking state.

 

[JPLC]

Sports is the gift that keeps on giving... money that is. Theme parks and animation don't compete on that level.

You're right. Sad, but you're right.