FanDuel Sports Network, fresh out of bankruptcy, is laying off around two dozen staffers, which will particularly affect the company’s digital operations.
“After careful analysis, we’ve made the decision to rebuild our digital and social efforts in a way that better supports our direct-to-consumer growth and helps scale the business,” a spokesperson for Main Street Sports Group, FDSN’s parent, wrote in a statement. “Unfortunately, this shift has led to the difficult decision to part ways with some team members whose roles and skillsets supported our previous strategy.”
That previous strategy included a lot of shoulder programming, aggressive social media and digital content.
How that’ll be replaced is unclear.
“Digital managed all social platforms and web content,” wrote one source in a text. “So no highlights, VOD content, stat graphics… engage-able content on digital. [N]obody left to execute those sales campaigns…nobody there to post any of that stuff. It’s moving towards a strictly ‘schedule tune-in’ content. Not sure what the actual strategy is, but think of it as getting rid of all social accounts and just running off advertisements on digital now.”
In addition to digital posts, the layoffs include associate producers, producers/editors, VPs of production and VPs of content. That likely means a significant cutback on non-game content.
“Distributors are never going to pay you one penny for anything other than the games,” said sports media consultant Patrick Crakes, explaining his take on the layoffs. “Not paying for pre. They’re not paying you for post. They’re not paying you for the fishing show. Those were all-time buys. I mean, you will see more time buys. You’ll see more, you know, fishing, golf…adventure shows.”
FDSN, previously Bally Sports Network, filed for Chapter 11 bankruptcy in March 2023, buried under billions of dollars of debt incurred by cord-cutting and acquisition debt from parent Sinclair’s purchase of the RSNs. The Chapter 11 case was bumpy, so much so that at one point, the plan was to dissolve.
However, the bondholders and sports leagues ultimately agreed to a plan that saw Main Street exit bankruptcy intact on January 2nd.
Long-term financial estimates filed in the Chapter 11 case showed Main Street does not expect to turn a profit for several years, so it does not surprise the company, owned by financial creditors, is belt-tightening. The company is pinning its financial future on lower rights fees paid to teams, direct-to-consumer distribution through Prime Video, and promotion through naming rights partner FanDuel. It’s a bet that RSNs can survive in this digital age.
Main Street recently hired former ESPN EVP Norby Williamson to oversee production shortly after parting ways with top production executive Michael Connelly.
FDSN boasts 16 regional sports channels encompassing 30 teams from MLB, the NHL, and the NBA. Before Chapter 11, the company had 19 RSNs broadcasting 42 MLB, NHL, and NBA teams.
