The deal is expected to be announced on Monday.
ESPN and Fox have been negotiating the new TV deal for the past few weeks, according to multiple sources, but no deal has been signed.
The deal will include Fox Sports, the rights to the NCAA Tournament, the national championship and an additional year of Fox Sports Digital.
Fox Sports will continue to broadcast NCAA tournaments, and it will also have rights to televise the NBA Finals.
Fox Sports’ broadcast rights for the NCAA and NBA Finals will be shared with NBC Sports, ESPN and Univision.
It’s unclear what Fox Sports will pay ESPN for the NBA.
As part of the deal, Fox Sports has agreed to pay ESPN up to $3 billion in additional rights fees for the next three years.
Fox has also agreed to invest $100 million in the development of new content for its online service, FoxSports.com.
Sources say Fox Sports is interested in bringing back college basketball to the platform.
This new deal would allow Fox Sports to stream NCAA tournament games on its network and online, which would likely include the Final Four and the Big Dance.ESPN and NBC Sports will likely pay ESPN about $3.4 billion per year for its rights to broadcast the NCAA, but Fox Sports would have a much higher fee, likely up to a billion dollars per year.
Fox and FoxSports Digital have a combined $100.9 million in revenue this year, but sources say they are unlikely to have much money left over to make up for the lost revenue.
In the past, Fox has made a habit of cutting deals with cable companies, but this deal would give them a big piece of the pie in the new deal.
FoxSports.net is the online destination for all things Fox Sports.
It will provide live video coverage of all Fox Sports programs and is expected soon to launch an app that allows fans to watch live video of any game from the network.
Fox sports rights would allow ESPN to carry the Final 4 and the Final Five for the first time since the 2006 tournament.
The Final Four will air on ESPN2.