FS1 Surpasses ESPN as Most-Carried Sports Network in US as Disney Readies for Pivot to Streaming
Cord cutting hasn’t slowed down one iota in 2023. According to data from Nielsen, as reported by Sports Business Journal's John Ourand, 3.1 million customers have dropped a cable, satellite, or live TV streaming subscription between January and August of this year.
The numbers have had an effect on even the most evergreen channels. ESPN has not been immune, either; the channel that 78% of cable viewers rated as a “must-have” in September of last year has fallen behind FS1 in terms of carriage by pay-TV customers. Nielsen’s numbers have FS1 in 71.375 million homes, whereas ESPN is now in 71.321 million.
Both channels have lost over 2.5M viewers this year, as cord-cutting is affecting all the major sports channels. The Turner Networks TBS and TNT have shed over 3M customers each, and while sports-specific channels like NFL Network and MLB Network have lost fewer viewers, the fact that they’re usually only available on higher subscription tiers or through add-on packs means they have fewer viewers to lose in the first place.
The news comes at a time when Disney is solidifying its five-year plan for ESPN, and perhaps for the rest of its linear channels as well. It wasn’t all that long ago that ESPN was carried in 100M households in the United States, but now, its parent company is preparing for a day when it may have virtually no linear ESPN customers.
The news first broke that Disney was officially speaking to broadcast partners and sports leagues about creating a streaming version of the ESPN family of channels this spring. Since then more details have become available, including the fact that Disney may sell off its other linear channels such as ABC, Freeform, Disney Channel, FX and others.
CEO Bob Iger called linear TV a “no-growth” business in July, the surest sign yet that his company doesn’t see a future in linear TV. But ESPN is a force of nature in the sports world, and its brand is likely to pull even the most streaming-hesitant viewers to a platform that doesn’t require a cable or satellite subscription to watch. Disney isn’t planning to go it alone either; it has had conversations with sports leagues and major tech companies regarding purchasing minority stakes in ESPN as it prepares to jump to streaming.
The numbers from Nielsen demonstrate exactly why Disney is eyeing a partner in the tech world for launching a streaming version of ESPN: distribution. Tech giants like Apple and Amazon can easily bundle an ESPN streaming subscription with their other products, which could bring it closer to the distribution levels the channel saw during its peak on cable. Worldwide reach is incredibly important, especially if Disney wants to turn a profit from its eventual ESPN streamer.
Such a product is likely still two or three years away, so users shouldn’t rush to cancel their pay-TV service in anticipation of its launch just yet. But sports fans can watch thousands of live sporting events on ESPN+ until the flagship channel moves to streaming, at a much more affordable price than a cable subscription ($9.99 per month).
ESPN+
ESPN+ is a live TV streaming service that gives access to thousands of live sporting events, original shows like Peyton’s Place, the entire library of 30 for 30, E:60, The Last Dance, as well exclusive written analysis from top ESPN insiders. Sports available on ESPN+ include NFL, MLB, NHL, UFC, College Football, F1, Bundesliga, PGA Tour, La Liga, and more.