Reports have been coming out for weeks about FanDuel Sports Network, one of the largest regional sports network (RSN) operators, being under financial pressure and at risk of shutting down. Today, a new report from The Athletic says that the company is struggling to give MLB teams the money they expected for the upcoming season.
FanDuel purchased a slate of RSNs from Bally Sports in 2024 and rebranded the channels to FanDuel Sports Networks on October 21, 2024. The channels include coverage for NBA, NHL, & MLB teams across the country. In December, we shared a report that DAZN was in negotiations to secure a majority stake in Main Street Sports Group, the parent company of FanDuel Sports Networks.
By the start of the new year, after Main Street Sports Group had missed a payment to the Cardinals, the company’s cash flow issues had come to light. Industry sources then shared information about a possible restructuring under DAZN if an acquisition goes through. Teams would then need to decide if they’ll accept the new terms, including adjustments to financial terms, or go a different direction with media rights and distribution.
Following the missed payment to the Cardinals in December, the company reportedly missed January payments to multiple NBA teams. Those teams are preparing to send formal default notices to Main Street Sports Group, according to a report from SBJ. That would give the company 15 days to resolve issues before officially breaching its contracts.
The financial outlook of the company isn’t looking good. Today’s report from The Athletic says that Main Street lost around $200 million in 2025. MLB managers and executives told the outlet that the uncertainty around contracts is causing issues with the teams, as they sort out budgets for the upcoming season. RSNs give teams a set amount of money for TV rights for a season. When that number is much lower from one season to the next, or when payments are missed, it can be a huge blow to the team’s financials.
One alternative would be for the MLB to take over broadcast rights. That allows for new streaming and distribution deals for each team. However, with the uncertainty around Main Street’s future, it won’t leave teams with much time to figure those deals out. It also takes away that guaranteed fixed payment for the full season of TV rights. This marks the third straight offseason with TV revenue concerns for some MLB teams.
As NBA and NHL seasons wind down and MLB Spring Training gears up, we’re likely going to see a lot of news about league and team coverage and how to stream games this year.