Major new agreement sees the NFL take 10% stake in ESPN

The NFL and Disney have finalised an agreement that will see the league acquire a 10% stake in ESPN. In return, ESPN will take over operations of the NFL-owned channels NFL Network and RedZone, although the NFL will retain ownership of both channels and their digital rights.

Neither party disclosed financial terms, but analysts have valued ESPN at between $25 billion and $30 billion, suggesting the NFL's stake is worth approximately $2.5 billion to $3 billion.

In March of this year, Disney+ launched ESPN on Disney+ in Australia and New Zealand, bringing around 10,000 hours of ESPN’s live sport coverage to the platform.

ESPN channels are also carried by Foxtel in Australia, with conversation surrounding its carriage still ongoing.

The acquisition does raise some ethical concerns, with ESPN commentators and reporters now in a position of offering analysis and reportage on one of its corporate stakeholders.

What the deal covers

Under the agreement, ESPN will add NFL Network to its portfolio of sports channels and handle its distribution to pay-TV operators. It will also manage carriage for the NFL’s RedZone channel, though digital distribution and ownership remain with the league.

For ESPN, the move bolsters its NFL offering ahead of its planned launch of a direct-to-consumer streaming version of ESPN later this year.

For the NFL, the partnership secures the long-term viability of its linear assets within a larger sports media ecosystem, and brings it deeper into the operational fold of one of its most important broadcast partners.

A deal in 2024 with Netflix for two annual Christmas games was seen by many as a trial for a deeper relationship to form when the next contract rights are due to be signed. Today's news suggests that the NFL's ongoing relationship with ESPN is more assured.

The deal reduces Disney’s share in ESPN from 80% to 72%, with minority shareholder Hearst dropping from 20% to 18%.

NFL Network broadcasts year-round news and analysis along with seven exclusive regular games each season. It is currently available in about 50 million homes. ESPN will now license these games from the league.

RedZone reaches fewer than 10 million homes, but has a highly loyal audience among hardcore fans and fantasy football players.

More than just Disney

The NFL will also gain equity in CBS through its ongoing content partnership with Skydance Media. Skydance is finalising its acquisition of CBS parent company Paramount Global.

This multi-company strategy signals the NFL’s intention to deepen its role across the broader media landscape — not just as a content supplier, but as a strategic stakeholder beyond sports coverage.

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