Settling Up

Settling Up

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  • Warner Bros. Discovery has resolved its breach of contract lawsuit with the NBA, securing a partnership with the league for at least the next decade. While the company will lose rights to regular and postseason NBA games on its TNT network after this season, it has retained significant NBA content for domestic and international audiences. The agreement allows Warner Bros. Discovery to develop new shows featuring NBA content and gain international rights in regions like Northern Europe and parts of Latin America. Its digital platforms, including Bleacher Report and House of Highlights, will continue to feature NBA highlights and live-action content, with House of Highlights positioned as a global growth property.

  • The settlement follows Warner Bros. Discovery's legal challenge over the NBA’s new $80 billion rights deals with Disney, NBCUniversal, and Amazon, alleging a breach of matching-rights clauses. In addition to securing NBA-related content, the company is filling the void left by its loss of major NBA games by expanding into college football and Nascar, including sublicensing Big 12 conference games from ESPN. The agreement will bring in approximately $350 million over 11 years from programming, marketing, and promotion services. Meanwhile, Warner Bros. Discovery is also working to maintain its distribution fees for TNT amidst significant shifts in its sports portfolio.

Why it matters

This deal underscores the ongoing battle for live sports content as media companies adapt to changing viewer demands and competitive rights negotiations.

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