Federal Judge Halts Launch of New Sports Streaming Platform

A federal judge has temporarily paused the launch of a new sports streaming service by Walt Disney, Fox, and Warner Bros Discovery following FuboTV's legal challenge. Fubo claims the partnership would harm competition and increase prices for consumers. The companies plan to appeal the decision.

A federal judge on Friday put the brakes on a new sports streaming platform spearheaded by Walt Disney, Fox, and Warner Bros Discovery. This decision follows FuboTV's assertion that the proposed partnership would stifle competition and inflate prices for consumers.

U.S. District Judge Margaret Garnett, ruling from New York, deemed a temporary injunction appropriate as FuboTV seems likely to succeed in its claims. FuboTV's lawsuit, filed on February 20, argued that the venture would lead to anti-competitive behavior in the market.

The companies, planning to name the service Venu Sports, issued a statement countering FuboTV's stance, calling the new service a pro-competitive choice designed to expand consumer options. Despite their plans to appeal, the launch now faces uncertainty.

(With inputs from agencies.)