- Kevin Mayer and Tom Staggs, former Disney heir apparents, have returned as advisers to CEO Bob Iger.
- They have been brought on board to help figure out what to do with ESPN and Disney's other television properties.
- Speculation has arisen that their return is also an audition for Iger's job as he looks for a permanent successor.
- Mayer and Staggs have impressive resumes and are currently working together at their investment firm, Candle Media.
- If they end up competing against each other for the CEO job or if Iger passes over them, it will be a moment of high drama.
- Disney CEO Robert Iger has stated that the company's traditional television business, including ABC and ESPN, may not be core to its future.
- This aligns with the vision of former Disney CEO Bob Chapek, who emphasized putting consumers at the center of every decision and integrating digital and in-person entertainment.
- In September, Disney announced perks for Disney+ subscribers related to theme parks, merchandise, cruise lines, and theatrical movies.
- Chapek was ousted in favor of Iger's return just two months after announcing this ambitious vision.
- Selling the linear networks would leave Disney's future primarily focused on its parks and direct-to-consumer businesses.
Disney Launches ESPN Bet, Embracing the Gambling Industry
Disney, known for its family-friendly values, has surprised many by venturing into the gambling industry. With the launch of ESPN Bet in partnership with PENN Entertainment, Disney aims to tap into the lucrative world of online sports betting. This move comes as no surprise, considering the company's growing involvement in the gambling industry since the legalization of sports betting in the US in 2018. Despite previous concerns about associating with gambling, Disney's CEO Bob Iger believes that public acceptance and the potential for profit outweigh any reservations.
This partnership represents Disney's strategic move to expand its sports business into the streaming era. ESPN Bet will be integrated into Disney's long-term plan to transition its sports content from cable TV to online streaming platforms. ESPN has already embraced sports betting by launching a popular sports betting show and closely aligning itself with major players in the gambling industry. The new deal with PENN Entertainment deepens this association and offers a direct platform for ESPN to engage with sports bettors.
While Disney is not directly involved in bookmaking, the launch of ESPN Bet signifies a significant shift in the entertainment giant's stance on gambling. Previously, Disney had banned casinos on its cruise ships and fought against the expansion of gambling establishments in Florida. However, the success of ESPN's existing sports betting show and the potential for growth in the industry have compelled Disney to capitalize on this opportunity.
Overall, Disney's entry into the gambling industry through ESPN Bet showcases its willingness to adapt to changing market trends and tap into new revenue streams. The move aligns with Disney's strategy of transitioning its sports content to streaming platforms and leveraging the popularity of sports betting to engage audiences.
Amazon is reportedly in talks with Disney to work on the streaming version of ESPN and potentially acquire a minority stake in the sports network.
Disney's ESPN is in talks with Amazon about a potential partnership for a new streaming service, with ESPN considering charging between $20 and $35 per month for the service.
Disney-owned channels, including ABC and ESPN, went dark for Charter Spectrum subscribers due to a failure to reach an agreement on terms, impacting the broadcasting of the U.S. Open tennis tournament and a college football game between the University of Utah and the University of Florida.
Disney's ongoing fight with Charter Communications over the placement of ESPN and other channels on Spectrum cable has escalated, with Stephen A. Smith publicly supporting Disney's position on social media.
Disney's Linear Networks division, which includes ESPN and other channels, has been struggling with declining viewership and revenue, prompting management to explore strategic alternatives and potential partnerships to transition into a more streaming-oriented business.
Comcast CEO Brian Roberts expects Disney to exercise its put option to acquire Comcast's minority stake in Hulu, with a likely valuation of just under $30 billion, and believes there will be significant interest from other potential buyers in an auction for the stake.
Charter CEO Chris Winfrey stated that the ongoing carriage fight with Disney could result in a leaner, ESPN-free TV bundle for Spectrum customers, potentially leading to a smaller but more loyal customer base.
Disney's former and current executives believe that CEO Bob Iger's ultimate plan is to sell the company to Apple, a potential acquisition that analysts have been speculating about for years.
Walt Disney CEO Bob Iger is considering options for the company's traditional broadcast and cable businesses, including the potential sale of ABC, as streaming services and declining viewership threaten the future of linear TV.
Walt Disney Co is reportedly in talks with Nexstar Media Group Inc to sell its U.S. TV network ABC, as Disney looks to sell some of its traditional TV assets due to the rise of streaming services.
Byron Allen has submitted a $10 billion offer to Walt Disney Co. to acquire its ABC TV network, local stations, as well as the FX and National Geographic cable channels.
Disney's potential sale of ABC and its affiliated networks is not primarily motivated by financial gains, but rather serves as a signal to investors that Disney is ready to move away from traditional television and focus on its streaming businesses.
