Disney’s (DIS) ESPN Locks in U.S. Open Coverage and Embraces AI for the Future
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Disney’s (DIS) ESPN Locks in U.S. Open Coverage and Embraces AI for the Future

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Disney’s ESPN has entered into an agreement with the USTA to broadcast the U.S. Open tennis tournament through 2037.

The Walt Disney Co. (DIS) Walt Disney’s ESPN network announced a landmark agreement on Wednesday with the United States Tennis Association (USTA). This agreement will result in the sports network of the media conglomerate continuing to broadcast the U.S. Open tennis tournament through 2037.

Details of Disney’s ESPN’s Deal with the USTA

This new deal, which begins in 2026, will extend ESPN’s coverage of the U.S. Open in the United States, Latin America, and the Caribbean. Notably, the agreement spans 12 years, making it the network’s longest-standing deal for tennis.

In addition to traditional broadcasting, the deal also grants ESPN the rights to expand its U.S. Open programming through streaming, offering fans more ways to engage with the tournament. However, the financial terms of the agreement were not disclosed.

ESPN Also Exploring the Use of AI

In addition to its sports broadcasting deals, ESPN is exploring the integration of artificial intelligence to enhance the personalization of its popular news and recap show, “SportsCenter.” Elaborating further on this, ESPN Chairperson Jimmy Pitaro told reporters that as younger audiences increasingly turn to streaming television, the media conglomerate is preparing to launch its flagship ESPN network as a standalone app next year.

This app aims to offer a tailored version of “SportsCenter” based on individual user interests. Pitaro emphasized that AI will play a crucial role in this personalization effort, aiding not only in clip generation but also in narration.

Beyond AI, Disney is working to add new features to the ESPN app including betting, fantasy sports, and e-commerce. Last year, the company unveiled the ESPN Bet app, following a $2 billion deal with casino owner Penn Entertainment (PENN), as part of Disney’s ongoing efforts to innovate and stay ahead of its competition.

What Is the Target Price for DIS stock?

Analysts remain bullish about DIS stock, with a Strong Buy consensus rating based on 19 Buys and four Holds. Over the past year, DIS has increased by more than 5%, and the average DIS price target of $118.53 implies an upside potential of 32.5% from current levels.

See more DIS analyst ratings

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