Netflix is exploring a major push into live sports programming as its subscriber growth slows and its stock price comes under pressure, according to industry reports.
The company is reportedly in talks with Fox One to bring its live sports programming onto the Netflix platform. There is also speculation that Netflix could eventually acquire NBCUniversal once Comcast separates from the media company, largely to gain access to its year-round sports contracts.
“To matter to a sports fan, you need a year-round offering, not just a season. If you have just a season, people can cancel,” Wolfe Research analyst Peter Supino said on a recent podcast. “We think it’s a very underappreciated possibility that Netflix ends up buying NBCUniversal, which is the second-biggest sports portfolio in the world.”
Supino said NBCUniversal has struggled to establish itself in scripted entertainment. “Despite NBC’s rich history in television, most people would struggle to name anything in the category of Peacock originals or big scripted dramas,” he said. “Peacock finds itself a sports business, a news business, and a pay-one film deal with Universal Studios, and that’s just not enough.”
Netflix had pursued a purchase of Warner Bros. Discovery earlier this year but ultimately lost out to Skydance. Notably, Netflix had sought only WBD’s entertainment assets, not its sports or news divisions — a decision some analysts viewed as a missed opportunity to diversify its programming lineup.
Viewership Pressures
Netflix remains profitable and continues to post quarterly growth, but the pace of that growth has slowed. The company is also losing viewing time to YouTube, which is free to use. YouTube currently leads all platforms in television viewing share with 14 percent, while Netflix sits in a distant second place at around 7 percent.
Viewing time is considered a key indicator by Wall Street analysts, who use it to gauge the long-term subscription health of streaming services. A decline in time spent watching a platform is often seen as an early warning sign of future subscriber losses.
Netflix has already added some live sporting events to its platform, including WWE’s Monday Night Raw. However, it currently lacks the kind of seasonal, year-round sports programming that networks like NBC offer through NBCUniversal’s portfolio.
There is also discussion of Netflix expanding into theatrical releases, a shift from its traditional streaming-first approach. Each major theatrical feature typically represents an investment of $300 million to $500 million.
Netflix is not currently described as a company in financial distress, but analysts suggest it faces mounting competitive pressure unless it adjusts its programming strategy.
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