Fubo drops WBD channels over “unfair and anti-competitive” practices

The ongoing dispute between Fubo and Warner Bros. Discovery has heightened, after the two companies failed to reach an agreement on the distribution of WBD-owned channels via the sports streamer, resulting in channels including TNT Sports and Discovery being dropped from Fubo’s line-up.

In a statement Fubo said its offer in accordance with market rates for the renewal of WBD for a number of its channels and sport networks on the streaming service was turned down. It claims the media and entertainment giant failed to provide any counteroffer, and insisted on an offer from Fubo which was above-market rates for its content.

Fubo has since dropped WBD networks as part of its offering as of yesterday (April 30), including Discovery, HGTV, Food Network and TLC, among more, as well as Turner sports networks TNT, TBS and truTV.

The streamer also said WBD declined the option of a “more affordable skinny sports bundle” where Fubo customers can subscribe to their Turner sports content separately from Discovery content.

Lawsuit

The two companies continue to butt heads, following the announcement of the formation of a sports streaming powerhouse between WBD, Disney and Fox, which Fubo filed a lawsuit against in February.

Fubo alleges the planned streamer by the trio which it describes as the “sports cartel”, will destroy competition and inflate prices for consumers. In the lawsuit Fubo complains of the defendants “charging Fubo content licensing rates that are as much as 30%-50%+ higher than rates they charge they charge other distributors.”

The preliminary injunction hearing on Fubo’s case against the sports streaming partners will take place on August 7, which the company’s boss David Gandler labelled the case as a “duel to the death”.

Fubo said, “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. It is clear to us that Warner Bros. Discovery’s actions hurt consumer wallets and limit their choice.”

Warner Bros. Discovery statement

In a statement shared with DTVE, Warner Bros. Discovery said: “Our priority is to deliver the best content, at the best value, to our fans wherever they want to watch it. We have been and remain ready and willing to work diligently with Fubo to reach a fair market agreement. We proposed an extension of our current agreement, with no changes or price increases, that would allow Fubo to continue carrying these networks, and it is unfortunate that Fubo has decided to alienate their own customers in this way.”