New York [US], August 17: A U.S. federal judge on Friday blocked a new sports streaming venture, Venu, from launching later this month, a major blow to the effort.
Judge Margaret Garnett of the U.S. District Court for the Southern District of New York issued the ruling granting a preliminary injunction on Friday afternoon, saying that Venu, a planned sports bundle of Warner Bros. Discovery, Fox Corp. and Disney, would "substantially lessen competition and restraint trade."
Fubo, a sports-centric streaming service, filed a lawsuit in February against the three companies following the announcement of the new service.
Lawyers for Fubo argued that Venu Sports is anticompetitive because Fox, Warner, and Disney force Fubo to pay for a broad bundle of general entertainment channels without the ability to handpick the sport-centric channels it wants.
Venu's partners said in a statement that they "respectfully disagree with the court's ruling" and are appealing it.
"Venu Sports is a pro-competitive option that aims to enhance consumer choice by reaching a segment of viewers who currently are not served by existing subscription options," the statement said.
Venu announced earlier this month it would be available at 42.99 U.S. dollars a month and include a wide portfolio of games from the National Basketball Association, Major League Baseball, National Football League and college teams, a price much less than the cheapest Fubo plan.
Source: Xinhua