Unlike some other media partners with the NFL, Disney is not yet negotiating with the league for a renewal of its long-term rights deal.
CFO Hugh Johnston delivered that update during the media giant’s quarterly earnings call Wednesday.
The league, whose games continue to be massively important strategic pillars for media companies and streamers, is planning to exercise its option to opt out of current rights deals before they expire. The NFL is already in discussions with Sunday afternoon partners Paramount and Fox, reportedly with plans to extract an extra $1 billion or more in an offer the networks won’t likely be able to refuse.
Disney is not subject to the league’s opt-out until 2031. It is also in a unique position relative to its media and streaming rivals after swinging a deal to acquire the NFL Network, RedZone and other media assets in exchange for a 10% equity stake in ESPN.
“Our relationship with the NFL is as broad and as deep as it’s ever been,” Johnston said, “and we’re excited looking ahead to the upcoming NFL season with the NFL Network, and with RedZone linear now part of our distribution portfolio on top of Monday Night Football and broader NFL coverage.
Nevertheless, he continued, “we haven’t yet engaged with the league on early renewal conversations. We’re not dogmatic about the process, and we’re always willing to have a conversation with the NFL in an effort to find new opportunities for growth. We expect to be in the business with the League for years to come, and will, of course, evaluate this deal, as we wouldn’t any deal, with discipline and a focus on driving value for Disney’s shareholders.”
Asked the same question on recent earnings calls, media and tech executives characterized the situation a bit differently, saying they had begun conversations toward a renewal. The 11-year, $110 billion rights packages run through 2032-33.
Disney will broadcast the Super Bowl next February, its first turn with the big game since ABC had it in 2006.
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