US sports broadcaster ESPN will launch a new multi-sport subscription streaming service after its owner, the Walt Disney media company, confirmed an investment in BAMTech, the video technology business of MLB Advanced Media, the interactive media arm of Major League Baseball.
Walt Disney has agreed to pay $1bn (€900m) for a 33-per-cent stake in BAMTech and has the option to acquire majority ownership in the coming years.
ESPN did not give a timeline on when its new direct-to-consumer streaming service would launch, but the company’s president, John Skipper, said that it would complement the existing WatchESPN digital offering.
The new service will feature content provided by both BAMTech and ESPN, including live regional, national and international sporting events. Current content on ESPN’s linear networks will not appear on the new subscription streaming service.
Following Disney’s acquisition of a stake in BAMTech, the NHL North American ice hockey league has been given a minority interest in BAMTech, as the result of a previous agreement.
“Our investment in BAMTech gives us the technology infrastructure we need to quickly scale and monetise our streaming capabilities at ESPN and across our company,” Robert Iger, chairman and chief executive of the Walt Disney Company, said.
BAMTech’s roster of sports clients includes the National Hockey League, Major League Baseball, golf’s PGA Tour, wrestling’s WWE Network and Ice Network, a digital platform for professional figure and speed skating.