key point in the article (IMHO) -
A sublicense agreement was a sticking point that has been settled, according to sources. The agreement would give ESPN the ability to sell the rights to some of the games -- something Fox Sports would be interested in, sources indicated.
Hancock said that if ESPN were to sublicense any games, the presidents would have to approve it.
as I understand it, the way this would work is that ESPN could sub-license, or sell off, the rights to carry some or all of the first-round games, or possibly some of the quarter-finals, while ESPN retains the right to the marquee games including the Finals.
it may not be perfect, but it's probably better than having multiple parties get involved - which could result in some of the games winding up on a streaming service like Peacock or Amazon.
people complain about ESPN having a monopoly on events, but people also complain when rights get divided up into pieces and games wind up behind a paywall on a streaming service.