Fox Corporation has named Pete Distad as CEO of its forthcoming direct-to-consumer streaming platform, marking a major step in its evolving digital strategy. Distad, who brings extensive experience from Apple, Hulu, and Venu Sports, will report to Paul Cheesbrough, CEO of Tubi Media Group, and oversee all aspects of the new service.

Fox’s decision to enter the subscription streaming market comes as traditional TV continues to lose subscribers to digital alternatives. The yet-to-be-named platform will package Fox News, Fox Sports, and other Fox content, making them accessible beyond the traditional pay-TV bundle.

“We’re thrilled to have Pete lead this new platform,” said Cheesbrough. “His track record of innovation and execution will be instrumental in delivering a best-in-class service that showcases Fox’s premium content and brands.”

Distad added, “I’m excited to bring Fox’s leading sports, news, and entertainment content to audiences outside the traditional pay-TV bundle via an all-new streaming platform.”

This appointment comes on the heels of the collapse of Venu Sports, the joint streaming venture between Fox, Disney, and Warner Bros. Discovery. While Disney and WBD are integrating sports into their existing platforms, Fox is taking a different route, opting to build its own standalone direct-to-consumer service.

Further details about the service, including pricing and launch timeline, are expected to be announced later this year.

INSIDER TAKE

Fox’s entry into the direct-to-consumer subscription market marks a significant shift in its digital strategy. Unlike competitors that have long pursued streaming dominance, Fox has largely focused on advertising-supported models, particularly through Tubi. This new service represents a clear move toward subscription revenue.

Here’s what it signals for the industry:

• Adapting to Cord-Cutting Realities: With millions of households now outside the traditional cable bundle, Fox is acknowledging the need to serve consumers directly.
• A Different Approach to Sports Streaming: Fox isn’t attempting to replicate Netflix or Disney+ but is instead leveraging its live sports and news assets—two categories that have proven resilient in the streaming era.
• A Leadership Play: Distad’s background at Hulu, Apple TV+, and Venu Sports positions him well to steer Fox’s entry into the highly competitive streaming space.
• Monetization Strategy Unclear: While competitors bundle sports into existing platforms, Fox’s standalone subscription play raises questions about pricing, content tiers, and potential ad-supported options.

Fox is entering the subscription streaming market at a critical time. With ESPN launching its flagship direct-to-consumer product and WBD integrating sports into Max, the competitive landscape is rapidly evolving. Whether Fox’s approach will resonate with consumers—and how it will differentiate itself in a crowded market—remains to be seen.