A purchase of the FanDuel Sports Networks by sports streaming service DAZN seems to be inching closer, but any deal will need to meet certain terms.
According to a report on Wednesday by Mike Mazzeo and Tom Friend in Sports Business Journal, teams currently inked to deals with Main Street Sports Group, the owner of the FanDuel-branded networks, “are expected to soon receive a proposal outlining a go-forward plan should DAZN complete its acquisition of the embattled regional sports network operator.”
Should a sale go through, teams would reportedly be faced with “revised financial terms” that would likely include reduction in rights fees. Teams would then have to decide whether to continue on under DAZN ownership or seek other options, such as over-the-air and streaming partnerships.
If a deal between Main Street and DAZN fails to close, the FanDuel Sports Networks will shutter after the current NBA and NHL seasons.
Main Street currently controls the rights to 29 franchises between MLB, the NBA, and the NHL. Per the SBJ report, should more than 10 of those 29 teams opt to explore other options instead of accepting DAZN’s amended terms, the DAZN acquisition would fall through entirely. The London-based streaming platform wants to acquire local rights with some level of scale, which would necessitate as many teams as possible to achieve.
The nine MLB clubs currently inked to deals with Main Street would have another option additional to seeking over-the-air or streaming partnerships. These teams could join MLB’s own broadcast arm, which currently produces and distributes games for six other clubs. Under MLB’s new deal with ESPN, these teams would see games distributed digitally through the new ESPN app.
The fate of the FanDuel Sports Networks will likely be settled sooner rather than later. With MLB season right around the corner, teams need certainty about where their games will be aired. Earlier this week, Puck reported that a deal will be decided on by the end of January.