Walt Disney’s ESPN, Fox, and Warner Bros. Discovery’s planned sports streaming joint venture called Venu Sports is major challenge in court. This comes as Fubo is going to court today to ask a judge to block Venu Sports with an injunction. An injunction that Fubo says it needs or it could run into money troubles.
Fubo, in the lawsuit, alleges that three media giants stole from the Fubo playbook and that this new venture is the latest attempt in a years-long campaign to block its business. If successful, Fubo could put a hold on the new streaming service for months or even years as the court case goes forward.
Now, as part of its arguments, Fubo says it could be facing bankruptcy if Venu Sports launches.
“Fubo will face insolvency absent an injunction. But there is literally no harm to multibillion media giants if Raptor is delayed for some period of time while the merits of the case can be fully resolved,” Fubo wrote in a post trial memo according to The Wrap. “While Defendants’ lawyers argued in summation that a delayed launch might cause harm, they made no efforts to introduce evidence that could support that argument and they pointed to no record evidence. They will not suffer anything other than a temporary delay, assuming they prevail at trial.”
Fubo has yet to turn a profit since it launched 9 years ago in 2015. Since then it has relied on investors to support the service as it tries to find a way to become profitable. Fubo seems to be very concerned that Venu sports launch would make it impossible for the service to become profitable.
Now the future of the case and may be Fubo is in the hands of the judge over seeing the case.