Sports content is not at the heart of the blockbuster $82.7 billion deal Netflix struck Friday for the studio and streaming assets of TNT Sports parent company Warner Bros. Discovery. That fact adds to an already uncertain path for TNT Sports, but optimism remains within that entity.
Before the Netflix deal, WBD detailed a plan to split itself into two separate companies: one with the studio and streaming assets, and a Discovery Global that will house linear channels such as TNT, TBS, and CNN, as well as most of the sports portfolio. The Netflix agreement folds directly into that, with the WBD split scheduled for completion in the third quarter of 2026, before the acquisition closes.
TNT Sports has actively been in the midst of recalibrating its sports rights, particularly after the loss of NBA live rights, adding or sublicensing a wide range of content including tennis’s French Open and a large battery of college sports content. Discovery Global is also developing a new sports-centric streaming service, as TNT Sports content will not be shown on HBO Max as it is now but has not been deemed a big subscription driver there. Until the split is complete, though, sports will continue to be shown on HBO Max.
The key question, however, is what will be the appeal and long-term viability of a slimmed-down company composed mainly of linear television assets, in an era of sharply declining prospects for that part of the media business?
The situation with Comcast and Versant provides a meaningful parallel. The NBC Sports parent company spun off most of its cable TV assets 13 months ago in a separate company called Versant, and that move will be officially complete as of Jan. 2, 2026. Comcast did that in no small part to get lower-performing assets off its balance sheet amid accelerating cord-cutting, and though sports is a clear focus for Versant, that company’s long-term prospects are also a work in progress.
Along very similar lines, Comcast bid for just the WBD studio and streaming assets, and had no interest in what is becoming Discovery Global—the same bidding stance as Netflix. Going forward, both Versant and Discovery Global will be competing in a media marketplace against much larger entities such as ESPN parent company Disney, as well as streaming giants such as Netflix, Amazon, and Apple.
Nothing will likely happen with Discovery Global regarding a potential merger or acquisition until late 2026 or 2027, if at all, as the split and the Netflix deal would need to finish first.
What Happens Next
For the Netflix deal, there is the obvious regulatory process forthcoming—something that could run well into next year. Even before that, it’s also possible that Paramount or Comcast could attempt a hostile bid or another maneuver to break up the definitive agreement with Netflix.
Discovery Global, meanwhile, is also readying itself for the corporate split, with sports as a clear focus. Company sources said there is relief with the Netflix news, as it does not disrupt what’s already in development.
Expect to hear fewer public attacks on sports, as has been the case with WBD CEO David Zaslav. In addition to saying he didn’t “have to have the NBA,” foretelling the eventual loss of live rights with the league, Zaslav last year derisively termed sports rights “a rental business.”
“You’re never going to hear Gunnar call sports a rental business,” an industry source said, referring to WBD CFO Gunnar Wiedenfels, who will run Discovery Global.
