Diamond Sports Group has received court approval to exit Chapter 11 bankruptcy with a new business model that includes a streaming partnership with Amazon's Prime Video and a naming rights deal with FanDuel. This plan allows the company to continue broadcasting for 27 MLB, NHL, and NBA teams, despite some teams leaving due to financial concerns. The new model aims to offer fans in certain markets the ability to access games without a traditional cable package.
The Kansas City Royals are negotiating a return to Diamond Sports Group, which has rebranded its Bally Sports networks as the FanDuel Sports Network after emerging from bankruptcy. While several MLB teams have reworked deals with Diamond, the Royals' return would maintain similar broadcasting arrangements as last year, with games available on cable and a direct-to-consumer streaming option, but not on major streaming services like YouTube TV. Additionally, games will be available on Amazon Prime Video for in-market viewers. A new deal would likely offer less financial compensation than previous agreements.
Amazon's Prime Video has reached a deal with Diamond Sports to stream its 16 regional sports networks as an add-on subscription for Prime customers in designated areas. This non-exclusive agreement is part of Diamond's strategy to exit bankruptcy with a new business model, following its rebranding to FanDuel Sports Network. Diamond also plans to offer games on a pay-per-game basis and is seeking court approval for its reorganization plan, which has faced scrutiny from Major League Baseball and the Atlanta Braves.
Major League Baseball and the Atlanta Braves have expressed concerns over Diamond Sports Group's reorganization plan, fearing the company may face financial distress again soon. The objections, filed in bankruptcy court, highlight a lack of clarity in Diamond's restructuring proposal and its commercial partnership with Amazon. Diamond, the largest owner of regional sports networks, is seeking court approval for its plan, while MLB and the Braves seek more information. Diamond is also renegotiating contracts with several MLB teams, with some teams opting to have MLB produce their local games.
One-year broadcast deals for the Cleveland Guardians, Minnesota Twins, and Texas Rangers have been approved for 2024, allowing fans to continue watching TV broadcasts via Diamond’s Bally-branded regional sports networks. However, there are no new in-market streaming options, disappointing fans. The one-year contracts serve as a bridge year, providing the teams with reduced rights fees and a runway to expand accessibility for 2025. The lack of expanded in-market streaming is due to Diamond not wanting a competing product available, but the teams could have enhanced streaming options as early as 2025. The Guardians and Rangers are taking fee reductions of no more than 15 percent, and the specific payment details are confidential.
Bally Sports' MLB TV rights for the 2024 season are in jeopardy after a surprise deal with Amazon, making them a minority investor in Diamond Sports and the new home for Bally Sports streaming. The deal, which includes offering live access to MLB, NBA, and NHL games through Amazon's Prime Video channels, has raised concerns for MLB, as they were unaware of the agreement and were in the process of finalizing TV rights. The judge overseeing the bankruptcy will need to approve the deal, leaving uncertainty about the future of Bally Sports and its long-term contracts with NBA and NHL.
Amazon is set to partner with Diamond Sports, the parent company of Bally Sports, as a minority investor in a restructuring deal, potentially making regional sports available on Amazon Prime. The 2024 Detroit Tigers season will be available on Amazon Prime, but details about the inclusion of Red Wings and Pistons games are still unclear. The deal is pending approval and requires further negotiations with the NBA, NHL, and MLB.
Diamond Sports, the company that owns Bally Sports and other regional broadcast rights, has reached a $450M plan with its creditors to continue operating through 2024 and beyond, with Amazon potentially contributing $115M for rights to broadcast teams currently owned by Diamond Sports. This may include the Detroit Tigers, among other MLB teams, potentially being streamed on Amazon Prime. However, the details and finalization of the plan are still uncertain, and it remains to be seen how this reorganization will affect the broadcasting of MLB games in 2024 and beyond.
Bankrupt broadcaster Diamond Sports has proposed a $450 million plan with creditors to continue operating beyond 2024, with Amazon set to invest $115 million and potentially acquire a 15% stake. The impact on MLB, NBA, and NHL remains uncertain, as Diamond plans to retain and expand its digital, direct-to-consumer rights while shedding some TV deals. The new arrangement could supersede previous agreements with the NBA and NHL, potentially altering negotiations with MLB. If approved, this partnership with Amazon could reshape the future of sports broadcasting and rights agreements.
Amazon is set to partner with Diamond Sports as part of a restructuring agreement to help the largest owner of regional sports networks emerge from bankruptcy. Diamond Sports, which owns 18 networks under the Bally Sports banner, has been in Chapter 11 bankruptcy proceedings with a debt of $8.67 billion. The agreement includes Amazon making a minority investment in Diamond and entering into a commercial arrangement to provide access to Diamond's content via Prime Video. This deal aims to prevent a collapse of the regional sports network system and will allow customers to access local team content on Prime Video channels.
The bankruptcy hearing regarding the fate of MLB teams' TV broadcasts on Bally regional sports networks has been postponed, indicating ongoing negotiations between MLB and Diamond Sports. The Cleveland Guardians, Texas Rangers, and Minnesota Twins are particularly affected, with uncertainty surrounding their TV revenue as free agency progresses. Diamond Sports holds the rights to 11 MLB teams' TV broadcasts in 2024 and is in negotiations with MLB to determine which teams it will carry. Amazon has shown interest in investing in Diamond, but MLB prefers to deal directly with Amazon for digital rights. The rescheduled hearing is set for January 19 in Houston.
Diamond Sports, currently in Chapter 11 bankruptcy proceedings, is in talks with Amazon to create a proposal that would allow the company to continue existing beyond 2024. Diamond holds TV rights for 11 MLB teams but only has digital rights for five of them. If a deal is reached, Amazon would be able to broadcast the teams for which Diamond holds digital rights, but not for the other MLB teams. The impact on baseball would be limited unless other teams negotiate with Diamond for expanded digital rights access.
Bally Sports has been ordered to make full payments to nine MLB teams that it owes money to or risk losing TV rights to nine more teams. The deadline to make the payments is June 7th, 2023. MLB has announced a partnership with DIRECTV STREAM and Fubo to offer streaming of games in-market for the Padres. Bally Sports reportedly has the money on hand but has been asking the teams to agree to allow them to also stream games before making the payments.
Diamond Sports, which owns Bally Sports, has been ordered by a federal judge to pay out the full value of its contracts with the Arizona Diamondbacks, Cleveland Guardians, Minnesota Twins and Texas Rangers, despite filing for Chapter 11 bankruptcy in March. The company, which is allegedly more than $8 billion in debt, owns the broadcast rights of 14 MLB teams. MLB said it would take over broadcast rights if Diamond Sports stopped making payments.
Diamond Sports, the owner of regional sports networks, has been ordered by a bankruptcy judge to make full media rights payments to four Major League Baseball teams. The company had been looking to cut down the payments owed to the teams, which caused it to go toe-to-toe with MLB officials in bankruptcy court this week. Diamond has been pushing to hold the direct-to-consumer streaming rights to all MLB teams that air on its networks. Diamond is also facing a more than $8 billion debt load, stemming from Sinclair Broadcast Group's $10.6 billion acquisition of regional sports networks in 2019.
