Walt Disney wants to keep ESPN and will look for strategic partners to form a joint venture or buy a stake in the sports network to help take it directly to consumers, CEO Robert Iger said on Thursday in an interview to CNBC.
The remarks are Iger's first since the company extended his contract on Wednesday until the end of 2026, lengthening what was supposed to be a short stay for the executive who returned from retirement in 2022 to help revive growth at Disney.
"We're going to be open minded… not necessarily about spinning ESPN off but about looking for strategic partners that can either help us with distribution or content," Iger said.
"We want to stay in the sports business."
ESPN has been a cash cow for Disney for a long time, but is caught between declining cable subscribers and increasing fees paid to sports leagues.
Last month, ESPN laid off about 20 of its sports personalities as the unit seeks to manage costs more closely and hit its financial targets.
ESPN had already undergone two rounds of layoffs as part of parent company Disney's announced plans to eliminate 7,000 jobs.
(Reporting by Samrhitha Arunasalam in Bengaluru; Editing by Pooja Desai)
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