

Hang Up | ESPN Gambles on Streaming
Aug 25, 2025
Louisa Thomas, a staff writer at The New Yorker, delves into the U.S. Open's revamped mixed doubles event, discussing its innovative format and prize increases aimed at attracting top talent. The conversation also critiques ESPN's new streaming service and its impact on traditional cable. Additionally, they explore the Indianapolis Colts' controversial decision to bench rookie quarterback Anthony Richardson, reflecting on the broader challenges young quarterbacks face in the NFL and the struggles teams endure in their development.
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ESPN’s Price Is A Strategic Hedge
- ESPN priced its direct-to-consumer app at $30/month to avoid accelerating cable cord-cutting.
- The company values carriage fees because cable still generates roughly a billion dollars monthly in revenue.
Cable Bundles Subsidized Sports Viewing
- The cable bundle subsidized sports fans by forcing ESPN into standard plans bought by non-sports viewers.
- Losing that mass non-sports audience would sharply cut ESPN's carry revenue and harm its business model.
Check Rights Before Adding Subscriptions
- Track which platform carries specific sports rights before subscribing to new services.
- Bundle decisions should hinge on where the sports you care about will live next season.