Diamond Sports Group's bankruptcy filing has the potential to affect nearly half of Major League Baseball. 14 teams are currently with Bally Sports, which Diamond owns, for their broadcast.
The company has a 30 days grace period, but the expectation is that they'll file for bankruptcy after that. It would be a shock to see them bounce back at this point.
That could potentially leave 14 MLB teams in the lurch. Those teams are:
- Arizona Diamondbacks
- Atlanta Braves
- Cincinnati Reds
- Cleveland Guardians
- Detroit Tigers
- Kansas City Royals
- Los Angeles Angels
- Miami Marlins
- Milwaukee Brewers
- Minnesota Twins
- San Diego Padres
- St. Louis Cardinals
- Texas Rangers
- Tampa Bay Rays
All of these teams have contracts with Bally Sports and could be in trouble if Diamond Sports Group's bankruptcy does come in the next month or so.
MLB commissioner Rob Manfred hopes that Diamond will pay the teams what they're contractually obligated to, via Yahoo! Sports:
"Obviously, our first choice would be that Diamond pay the clubs what they're contractually obligated to pay them. But because I'm a contingency planner by nature, we are prepared no matter what happens, with respect to Diamond, to make sure games are available to fans in their local markets. We think it will be both linear in the traditional cable bundle and digitally on our own platforms, but that remains to be seen."
Unfortunately, Manfred expected something like Diamond Sports Group's bankruptcy because he had a contingency plan in place.
This could mean MLB will be forced to explore short-term options for broadcasting until they can come up with a long-term plan to replace Diamond Sports Group.
Diamond Sports Group's bankruptcy: When will they go under?
Diamond Sports Group's bankruptcy won't take shape for a little while. They've been given a 30-day grace period to try and turn things around.
Via ESPN, the company released a statement saying that it:
"Intends to use the 30-day grace period to continue progressing its ongoing discussions with creditors and other key stakeholders regarding potential strategic alternatives and deleveraging transactions to best position Diamond Sports Group for the future."
Ultimately, bankruptcy is likely coming, it just won't be for another month or so.