The Walt Disney Co. and ESPN Inc. are asking a federal judge to toss a tech startup’s lawsuit accusing them of stealing trade secrets to develop a rival sports-streaming app — a case that pits Silicon Valley-style innovation against corporate media power.
In a motion filed Friday, Disney, ESPN Inc., and ESPN Enterprises argued that SportsBubble Inc. has no legitimate claim under federal or state law. The entertainment giants said their nondisclosure agreement (NDA) with the startup explicitly allowed them to pursue independent development of similar technology — a detail that undermines every accusation in the 58-page complaint.
“Plaintiff attempts to turn ordinary business talks into a conspiracy,” Disney and ESPN wrote, saying SportsBubble failed to allege “a single viable claim.”
Background: The WatchSports Pitch and ESPN’s “Where to Watch”
SportsBubble, the creator of the WatchSports app, says it met with ESPN in September 2021 to discuss a potential partnership that would integrate ESPN+ programming. By February 2022, both sides reportedly reached a preliminary agreement — but ESPN soon requested confidential technical details about the app.
The startup claims it shared this data under an NDA, only to later see ESPN launch Where to Watch in March 2023 — an allegedly “virtual carbon copy” of its product.
SportsBubble sued, alleging trade secret misappropriation, breach of contract, fraudulent concealment, and unjust enrichment.
