Why is Fubo withdrawing offers for local NBA rights?
Why is Fubo withdrawing offers for local NBA rights?
Does Fubo have insider knowledge that the league’s new in-market streaming service is launching soon? Or is another potential partner crowding it out?
The collapse of Main Street Sports Network has created an opportunity for other sports broadcasters. There are now more than 10 NBA teams looking for a new partner to broadcast their in-market games in the 2026-27 season, but apparently, Fubo has no further interest in acquiring those rights. Fubo has told teams it’s pulling out of negotiations, and the looming launch of an NBA in-market streaming platform is the most likely reason.
Key Details:
- We’re out: Fubo has withdrawn offers to 13 NBA teams for their local rights next season.
- Opt-out hang-up: The length of contracts that NBA clubs were willing to agree to was the main issue for Fubo.
- Strong opportunity: Fubo’s decision leaves the door wide open for DAZN to acquire some local NBA rights.
As reported by Sports Business Journal, Fubo contacted all teams formerly partnered with Main Street Sports Group on Wednesday to inform them that it was no longer participating in the bidding process for their local rights. The streamer “could not find a path forward that made financial and operational sense,” Fubo representatives told SBJ.
The report also mentions that Fubo was outbidding other competitors for those teams’ rights, offering between $8 million and $20 million per season. Neither DAZN nor Victory+, which are also pursuing these teams, have been able to offer as much thus far.
So, what’s the problem for Fubo? SBJ says the uncertainty of the length of contract offered by these teams was the main sticking point for the streamer. The NBA is working toward launching an in-market streaming hub with the rights of multiple teams, and while it hoped to have that service ready by the 2026-27 season, the 2027-28 campaign is the most likely scenario.
That leaves Fubo with too much uncertainty regarding the length of deals it can make with these clubs. SBJ says that many teams are looking to do one-year deals, or agreements that include an opt-out clause for 2027-28, and that Fubo could not square the math of offering such short contract terms. The streamer has been intrigued by these local rights for several months, so walking away from the process now has to hurt; Fubo even explored the purchase of Main Street assets to get these rights in January.
That’s as sure a sign as any that the NBA is deeply confident that it can get its new streaming service to market by 2027. It’s also a signal that the league has convinced former Main Street teams to line up any new deals so that their rights will be available to join its aggregated streaming platform next year.
Fubo’s exit from talks leaves a huge opportunity for DAZN, which has shown strong interest in acquiring NBA local rights. DAZN may well agree to team demands for short-term contracts, as it wants to build its relationship with the NBA so that when the time comes to choose a distribution partner for the league’s in-market platform, it strongly considers the global sports streamer.
Fubo will probably want to re-enter discussions to distribute the streamer as well, but that’s a question for next season, most likely. For now, the NBA teams that were partnered with Main Street Sports Group’s FanDuel Sports Network channels last year have one less potential broadcasting choice for 2026.
Fubo
Fubo is a live TV streaming service offering a robust lineup of approximately 150 premier channels, with plans starting at $63.99 per month. This entry-level package provides access to local broadcast affiliates 18 of the leading 35 cable channels channels, and valuable regional sports networks (RSNs).