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Disney is Taking YouTube to Court Over the Abrupt Departure of One of Its Top Executives

The streaming wars just got a dramatic twist. Accoridng to Bloomberg, Disney is taking YouTube to court over the abrupt departure of one of its top executives, Justin Connolly — a move that’s making waves across the tech and media world.

Connolly, a seasoned Disney veteran with over two decades at the Mouse House and ESPN, quietly handed in his resignation on May 16, 2025. Just days later, YouTube announced him as its new global head of media and sports — a bold hire just months before the NFL’s opening game, which YouTube will stream exclusively for free on September 5.

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For Disney, this isn’t just a high-profile defection — it’s a legal and strategic blow. According to a complaint filed in California Superior Court and confirmed in court documents, Connolly was under a binding three-year employment agreement that began in January 2025. Disney argues YouTube knowingly poached him mid-contract, disrupting ongoing negotiations between the two giants over licensing deals for YouTube TV. The tech platform is not just a rival in content, but a key partner Disney was actively negotiating with — and Connolly was at the very center of those discussions.

Connolly was literally the architect of Disney’s distribution strategy, the lawsuit states. He knows the financials, the tactics, the entire playbook — and now he’s switching sides while the game is still on. Disney contends that his intimate knowledge of sensitive internal strategies makes his move to YouTube not just a breach of contract, but a dangerous one.

YouTube, for its part, hasn’t responded publicly. But the optics are clear: it’s assembling a sports and media dream team to fuel its rise in the streaming ecosystem. With over 8 million YouTube TV subscribers and growing dominance in live sports thanks to packages like NFL Sunday Ticket, the platform is becoming a serious player.

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What’s more, YouTube has evolved far beyond its roots in user-generated content. It’s now a full-blown entertainment giant, offering premium services including live TV, music, and podcasts. It holds exclusive rights to the NFL Sunday Ticket and will stream the Week 1 game from São Paulo — an unprecedented move in sports broadcasting. YouTube was at the heart of Google’s video division pulling in around $36 billion in ad revenue last year alone, outpacing every other network or streaming platform and nearly matching the combined ad earnings of Disney, Paramount, Fox, and NBCUniversal.

As for Connolly, he hasn’t publicly commented either — though his new role reportedly places him at the helm of YouTube’s relationships with media powerhouses and live-sports partners.

This legal skirmish is more than corporate drama — it’s a signal. As tech platforms increasingly blend with traditional entertainment, talent wars like this will only intensify.


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Hillary Keverenge

Making tech news human, helpful, and sometimes a little heated.

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