Fubo drops Warner Bros. Discovery networks over pricing dispute
What's the story
FuboTV, the internet-based television provider, has announced its decision to remove all Warner Bros. Discovery (WBD) networks from its platform.
The move comes in response to the media company's alleged demand for "above-market rates" and refusal to license Turner Sports networks separately.
This development follows unsuccessful attempts by FuboTV to renew its content agreement with WBD, which includes popular networks such as Discovery, HGTV, Food Network, and TLC.
Negotiation breakdown
FuboTV accused Warner Bros. Discovery of unfair negotiations
FuboTV has accused WBD of not negotiating in "good faith," leading to the removal of its networks from Fubo's lineup as of 5:00pm ET on Tuesday.
The streaming provider stated, "Fubo offered WBD market rates for its content and, despite Fubo's efforts to negotiate in good faith, WBD did not provide any counteroffer."
"Fubo views Warner Brothers Discovery's refusal to engage in good faith negotiations as another example of its abuse of massive market power that ultimately limits consumer choice."
Company response
'Unfortunate that Fubo has decided to alienate their own customers'
In response to FuboTV's allegations, WBD stated, "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."
It claimed that it had proposed an extension of their current agreement without any changes/price increases, adding, "it is unfortunate that Fubo has decided to alienate their own customers in this way."
Past incidents
FuboTV's history of network drops and legal disputes
This is not the first time FuboTV has dropped networks due to unsuccessful negotiations. The company previously removed the legacy WarnerMedia suite of networks on July 1, 2020.
Additionally, FuboTV criticized Warner Bros. Discovery for not allowing customers to subscribe separately to Turner sports content through a more affordable sports bundle.
This criticism comes as Warner Bros. Discovery plans to make "this must-have content available in its forthcoming sports streaming joint venture with the Walt Disney Company and Fox Corp."