Early Thursday night, news broke that ESPN and MLB would both be opting out of their current TV rights deal following the upcoming 2025 season. While both sides are technically exercising opt-outs in their agreement, the breakup doesn’t appear to be as “mutual” as initially suggested.
According to a recent CNN report, the split primarily stems from ESPN’s choice to terminate the deal. This contradicts MLB Commissioner Rob Manfred’s memo to league owners, which blamed ESPN for insufficient promotion of the sport. “We have not been pleased with the minimal coverage that MLB has received on ESPN’s platforms over the past several years outside of the actual live game coverage,” he stated in a memo obtained by The Athletic.
However, CNN’s Kyle Feldscher reports that “a source with knowledge of ESPN’s approach to the negotiations disputed the idea that the split was mutual.” The source indicated that ESPN opted out of the contract, expressing surprise at Commissioner Manfred’s assertion that the end of the relationship was agreed upon by both sides. “The source told CNN that ESPN had an opt-out clause in the contract and decided to exercise it on Thursday,” the report detailed. This suggests that MLB may have exercised its own opt-out while placing blame on ESPN in communications with owners.
Regardless of the dynamics behind the scenes, the outcome is the termination of a deal worth $550 million per season for MLB, which has been showcased on ESPN since 1990. Consequently, MLB is now in search of a new national broadcast platform, while ESPN will need to adjust its summer programming strategies.