ESPN Chair Jimmy Pitaro on New Streaming App Strategy and Cord-Cutting

ESPN's Direct-to-Consumer Strategy

• 🎯 The primary strategy for ESPN's new streaming app is to target people on the sidelines, including those who have cut the cord or never subscribed to cable.
• 💡 The app aims to add value to the traditional pay-TV ecosystem by offering authenticated access to new features for existing subscribers of partners like Charter, Comcast, and Direct TV.

Impact on Cord-Cutting

• ❓ ESPN acknowledges uncertainty about the app's direct impact on accelerating cord-cutting, stating they don't have a crystal ball.
• 📈 The company recognizes the long-standing trend towards digital and streaming, making direct-to-consumer presence essential for serving sports fans.

Enhancing the Fan Experience

• 🚀 ESPN is not just making services available direct-to-consumer but is also significantly enhancing the fan experience within the ESPN app.
• 📺 This move is a crucial step in ESPN's evolution to be everywhere for the sports fan.

Disney's Integrated Media Management

• 📊 Disney manages its television assets as a single business, not separately by linear and digital, to remain agnostic to how consumers watch their content.
• 🤝 This integrated approach allows for aggregating subscription fees and advertising across both linear and digital platforms, aiming for a larger and more impactful business.

Adapting to Evolving Media Landscape

• ⚠️ While many companies are exiting the linear business, Disney is combining its assets, positioning itself to navigate the continued decline of traditional television viewing.
• 🌐 The pivot to digital is seen as a significant and effective step for ESPN's future growth and relevance.