Disney Reaches $50 Million Settlement Over ESPN Bundling Claims Pending Court Approval

Overview

• The proposed deal creates a $50 million nonreversionary fund to compensate affected subscribers.
• Eligibility includes customers who bought YouTube TV or DirecTV Stream live TV from April 1, 2019 through the date of preliminary approval.
• Injunctive terms would require Disney to consider smaller channel bundles, potentially excluding ESPN, for three years after final approval.
• Plaintiffs allege Disney forced ESPN into base packages, inflating prices and limiting choice, while Disney denies wrongdoing.
• The settlement still needs preliminary and final court approval, and FuboTV-only subscribers were previously split into a separate case.