Twenty-First Century Fox is creating a studio with Caffeine, an esports live-streaming startup, and is investing $100 million in the company. The studio will become part of the company left over when Fox sells most of its assets to Disney next year. That new company will focus on sports and news.
Fox Sports will use the studio to create exclusive esports, gaming and live entertainment programming for viewers, in a sign that the company sees an opportunity to go after a younger audience than its TV channels have and compete with the likes of Amazon’s Twitch. While Fox has been aggressively going after sports rights, paying more than $3 billion for Thursday Night Football, it’s interesting to see that it also realizes the importance of such things as esports to cater to the new generation of sports fans.