Disney-owned ESPN and Major League Baseball (MLB) will officially part ways at the conclusion of the 2025 regular season, ending a media rights partnership that has been in place since 1990. This marks yet another significant setback for Disney, which has faced a series of challenges across its media divisions.
MLB Commissioner Rob Manfred explained the reasoning behind the split in a letter to league owners, as reported by The Athletic. In the letter, Manfred expressed dissatisfaction with the coverage MLB has received on ESPN’s platforms in recent years.
“We have not been pleased with the minimal coverage that MLB has received on ESPN’s platforms outside of the actual live game coverage,” he said.
Bob Iger via CNBC Television YouTube
Financial factors also played a major role. ESPN was set to pay MLB approximately $550 million annually over the next three years. However, ESPN believed this figure exceeded the current market value, leading to mutual agreement to end the deal before the March 1 opt-out deadline.
“We do not think it’s beneficial for us to accept a smaller deal to remain on a shrinking platform,” Manfred wrote. He emphasized MLB’s focus on maximizing the value of its broadcasting rights, adding, “In order to best position MLB to optimize our rights going into our next deal cycle, we believe it is not prudent to devalue our rights with an existing partner but rather to have our marquee regular season games, Home Run Derby, and Wild Card playoff round on a new broadcast and/or streaming platform.”
Despite the split, ESPN will continue to air “Sunday Night Baseball,” wild-card postseason games, and other coverage through the end of the 2025 season.
Manfred also revealed that MLB has been in discussions with multiple potential partners for future broadcasting rights.
A screenshot of MLB – YouTube, MLB
“We have been in conversations with several interested parties around these rights over the past several months and expect to have at least two potential options for consideration over the next few weeks,” he stated.
ESPN, on its part, stressed its commitment to responsible financial decisions while expanding its audience reach. “In making this decision, we applied the same discipline and fiscal responsibility that has built ESPN’s industry-leading live events portfolio as we continue to grow our audience across linear, digital, and social platforms,” the network commented.
Reports indicate that ESPN had approached MLB to renegotiate the annual fee, citing significantly lower deals made by Apple and Roku. Apple reportedly pays $85 million annually for its MLB package, while Roku’s deal is valued at just $10 million per year. Manfred countered this by highlighting ESPN’s larger inventory, including exclusive Sunday night games, a full round of playoffs, and the popular Home Run Derby.
A screenshot from MLB on YouTube – YouTube, MLB
While the long-standing partnership between ESPN and MLB is coming to an end, both parties have left the door open for future collaborations. ESPN has reportedly proposed new national and regional programming ideas for MLB to consider beyond 2025.
For Disney, the end of this partnership is another blow to its media empire, reflecting broader struggles in retaining high-profile content deals as the landscape of sports broadcasting continues to shift.
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