FuboTV reported a decrease in its North American subscriber base, ending the second quarter with 1.45 million subscribers. This marks a decline from 1.51 million in the previous quarter but represents a 24% increase from 1.16 million subscribers a year ago.
Despite the subscriber drop, FuboTV saw a boost in revenue, which rose by 26% to $382.7 million, surpassing analyst expectations of $368.3 million for the quarter. The company’s net loss narrowed to $25.8 million, a significant improvement from the $54.2 million loss reported during the same period last year. This reduction in losses was fueled by an increase in subscription revenue, which climbed to $362.9 million from $289 million, and a rise in advertising revenue to $26.2 million from $23 million.
FuboTV is actively challenging a proposed sports streaming joint venture involving The Walt Disney Company, Fox Corp., and Warner Bros. Discovery. The company has filed a lawsuit seeking to block the venture, arguing that it could stifle competition and drive up subscription prices for consumers. FuboTV CEO David Gandler voiced concerns that the joint venture, if approved, would lead to higher prices and reduced competition in the market.
Gandler criticized the venture for potentially consolidating market power among the partners, claiming it would undermine efforts to provide better options and prices for consumers. He emphasized that the joint venture’s purported aim of addressing issues with bulky cable bundles might actually be a strategy to limit competition and enhance profits for the media giants involved.
The lawsuit against Disney, Fox, and Warner Bros. Discovery is currently underway in the U.S. District Court for the Southern District of New York, with a key court hearing on a preliminary injunction recently commencing. Gandler expressed hope that the Department of Justice’s interest in the joint venture would lead to a fair market where competitors would have to vie for sports channel licensing and distribution.
