Disney+ is preparing to incorporate ESPN's sports programming for subscribers in Australia and New Zealand marking a significant move in the regional sports streaming landscape. This integration will grant Disney+ users access to a broad spectrum of live sports events and ESPN's continuous sports channels. The inclusion encompasses both Australian and international sports such as live basketball from local leagues and the USA American football and various 24/7 ESPN channels.
This content was previously accessible to Australian viewers through platforms like Fetch TV and Foxtel/Kayo. Following Disney's announcement concerned subscribers took to social media expressing worries about potentially losing ESPN access. In response Foxtel released a statement assuring its users that their sports programming would remain unchanged. According to a Foxtel Group representative their relationship with Disney/ESPN is long-standing and expected to continue. They also confirmed their commitment to providing ESPN content on Foxtel and Kayo emphasizing this shortly after the Super Bowl and before important NBA games.
While ESPN will not be exclusive to Disney+ its presence on the platform may iNFLuence consumers' streaming service choices. Kylie Watson-Wheeler Disney's Australian managing director and head of ESPN Asia-Pacific described this move as an innovative step that will broaden the appeal of Disney+. She stated it enhances their already substantial content offering increases subscriber value and serves sports enthusiasts at any time and place.
Foxtel remains a leading subscription TV service in Australia with over 4.6 million subscribers with Kayo accounting for approximately a third. The industry is keenly observing Foxtel's future actions especially after its acquisition by Saudi Arabia-backed Dazn was announced in December. Despite growing competition in the streaming sector ESPN has maintained a strategy of partnering with multiple distributors. Disney CEO Bob Iger mentioned recently his aim for ESPN which also relies on advertising to be as widely available as possible.
Bob Iger stated that younger viewers are increasingly drawn to streaming for both television and mobile viewing. He added that the more ESPN caters to this new generation with a suitable product the better it will be for ESPN’s business. ESPN first launched on Disney+ in Latin America in June 2024 and in the US in December 2024.
Upcoming ESPN live broadcasts feature events like NBA All-Star Weekend NBL finals MLB opening day NBA playoffs and NHL playoffs. ESPN also produces Australian focused programs such as Around The Wicket for cricket Nothing But Net: Aussie Hoops and SportsCenter Australia.
Media company Disney is entering Australia’s sports streaming market by transferring its coverage of major American sports leagues including the NBA and NFL to Disney+. In an effort to capitalize on the rising popularity of top global sports leagues Disney will incorporate ESPN into Disney+ at no additional cost. This action poses a challenge to Foxtel's sports-centric service Kayo. Moving ESPN from Foxtel's Kayo to Disney+ is a notable development for sports streaming in Australia.
ESPN is a major global sports broadcaster and bringing the platform in-house signals an intention to expand its live sports offerings in Australia. Disney+ is currently the third largest streaming platform in Australia and live sports streaming is becoming a key competitive area for it and platforms like Netflix and Amazon Prime Video. This trend threatens the once dominant position of Foxtel and free-to-air networks in Australia. By adding the infrastructure to stream live sports on its app ESPN is prepared to actively participate in future sports rights negotiations as indicated by a source familiar with the plans.
While there is no specific launch date for ESPN on Disney+ a spokesperson confirmed it will occur in the coming months. Major American leagues like the NBA NFL NHL and MLB along with college sports and UFC will be available at no extra cost. Disney has also indicated openness to renewing its existing ESPN licensing agreement with Foxtel. Currently a Disney+ subscription is priced lower at $13.99 or $17.99 compared to Kayo's Premium subscription at $40 per month after Foxtel's recent price increase in January. However a Disney+ price increase is anticipated later in the year.
Combining live sports with Disney+'s existing library of franchises like Star Wars and Marvel alongside programs like Shogun and The Bear is considered an innovative advantage according to Kylie Watson-Wheeler. Recently the NFL announced a regular season game in Melbourne in 2026 and an NBA exhibition game is also planned demonstrating the growing popularity of these sports in Australia.
Disney+ has around 3.1 million subscribers in Australia according to Telsyte research approximately double that of Kayo. Amazon Prime Video a significant entrant in live sports has about 4.8 million. Netflix which is also moving into live sports events has approximately 6.2 million subscribers in Australia. Unlike other streamers entering sports Disney through ESPN provides year-round 24/7 sports coverage as Disney's CEO Bob Iger mentioned. News Corp agreed to sell Foxtel to sports streamer DAZN in December with the sale expected to finalize before the end of the financial year. DAZN aims to maintain Foxtel's current operations while seeking to expand its direct-to-consumer app into a leading sports streaming platform.
While AFL and NRL are primary for Foxtel US sports especially NBA and NFL are important during the off-season of Australian football codes. Foxtel shares NRL broadcast rights with Nine who owns this publication and holds free-to-air rights. As the league prepares for contract negotiations from 2027 both will face competition from global streamers. News Corp did not report Foxtel's subscriber numbers for the last quarter of 2024 due to the ongoing sale but it experienced a 16% subscriber decrease in the final quarter of 2023 after the AFL and NRL seasons concluded.
The Walt Disney Company along with Warner Bros. Discovery and Fox recently cancelled their sports streaming venture Venu Sports. Disney CEO Bob Iger explained that this decision was made because with the emergence of smaller bundled streaming packages Venu appeared redundant. This situation presented an opportunity to make ESPN available through various skinny bundles. The original aim of Venu was to consolidate the companies' sports networks and some direct-to-consumer services into a compelling new sports streaming option for underserved fans.
However legal challenges with Fubo and the rise of skinny bundles led to the project's discontinuation. Disney's core objective remains to maximize ESPN's accessibility across different platforms and formats. Iger stated that some consumers prefer to access ESPN through an app others as part of traditional expanded basic bundles and some are moving towards smaller sports focused bundles. He believes that the growth of these skinnier bundles is a good way to distribute ESPN and Disney plans to capitalize on this trend. Disney is now focusing on developing Flagship which is the working title for ESPN's standalone streaming service.
Iger mentioned that Flagship will likely include a combination of betting and fantasy elements along with customization and personalization features and more content than ESPN's linear channels currently offer. Disney intends to launch it this fall. Disney is enthusiastic about Flagship because it allows bundling with Disney+ and Hulu and strategic pricing. It provides consumers the choice of a sports-only experience or combining it with other entertainment services.
In a strategic move to strengthen its streaming offerings Disney+ has announced ESPN content integration for Australian and New Zealand subscribers. This provides Disney+ users access to live sports and ESPN’s 24/7 channels. The addition includes live Australian and international sports like NBA All-Star Weekend NBL finals MLB opening day NBA playoffs and NHL playoffs. This initiative aims to enhance Disney+ subscription value by offering a more comprehensive entertainment package. Foxtel has addressed subscriber concerns about ESPN access assuring them that ESPN programming will continue on their platform maintaining their relationship with Disney/ESPN. This action reflects Disney’s broader strategy to increase ESPN’s accessibility aligning with the trend of integrated streaming services. Integrating ESPN into Disney+ positions Disney to attract a broader audience including sports fans and to stay competitive in digital entertainment.
What Disney+ ESPN Integration Means For Sports Streaming Competition
Disney+ Entry Intensifies the Battle for Sports Streaming Dominance in Australia and New Zealand
Disney+'s inclusion of ESPN content represents a considerable escalation in the competitive sports streaming market of Australia and New Zealand. By adding live sports to its already substantial entertainment library Disney+ becomes a more compelling option for a broader audience. This move directly challenges established sports streaming services like Foxtel's Kayo and also puts pressure on other major streaming platforms such as Amazon Prime Video and Netflix to further enhance their sports offerings to remain competitive. The integration arrives at a time when consumer spending on multiple subscriptions is under scrutiny making bundled or more comprehensive services increasingly attractive.
For Foxtel which has long held a dominant position in Australian sports broadcasting Disney+'s move presents a significant competitive threat. While Foxtel assures its subscribers of continued ESPN access the availability of the same content on a potentially cheaper Disney+ subscription may lead some subscribers to reconsider their options. This situation may accelerate cord-cutting trends as consumers evaluate the value proposition of traditional pay TV versus more versatile and potentially cost-effective streaming services. The sports streaming landscape in Australia and New Zealand is now poised for intensified competition with Disney+ poised to be a major player.
Our Take On Disney+ ESPN Integration
Disney+ ESPN Integration is a Smart Move with Potential to Reshape Streaming
Disney's strategic integration of ESPN content into Disney+ for Australia and New Zealand appears to be a well-calculated maneuver to capture a larger share of the streaming market. Combining live sports with Disney's existing popular entertainment franchises significantly boosts the platform's appeal and offers substantial value to subscribers. This approach aligns with the evolving consumer preferences for comprehensive entertainment solutions in a single subscription. For sports fans and families alike the enhanced Disney+ service presents a strong value proposition. This integration has the potential to reshape the streaming landscape in the region driving further innovation and competition among providers as they strive to attract and retain subscribers in an increasingly crowded market.
Source: theguardian.com Source: smh.com.au Source: movieguide.org Source: ministryofsport.com