In a letter addressed to the CEOs of Disney, Fox, and Warner Bros., Representatives Jerry Nadler and Joaquin Castro expressed their concerns about the upcoming joint sports streaming service. The service, set to launch in the fall, will provide access to a wide range of sports channels and live events.

The lawmakers raised 19 questions in their letter, seeking clarification regarding the pricing, intent, and organization of the joint venture. They highlighted the significant influence that Disney, Fox, and Warner Bros. hold over pricing in the live sports TV ecosystem, especially considering that the top 97 TV broadcasts in 2023 were live sports events, including the Super Bowl and NCAA's March Madness tournament.

Nadler and Castro emphasized their concerns regarding access, competition, and consumer choice in the sports streaming market. They worry that the consolidation resulting from this joint venture may lead to higher prices for consumers and less favorable licensing terms for sports leagues and video distributors.

The letter specifically asks about the pricing strategies for the partners' own sports channels, such as Fox Sports and ESPN. The representatives are interested in understanding how these prices compare to current licensing agreements. They also questioned whether the joint venture partners will continue to competitively bid for sports rights, given that they will now be pooling sports content within the new venture.

To gain a better understanding of the joint venture, Nadler and Castro have given the CEOs until the end of the month to respond with answers to their inquiries.