A stream playout and distribution system and method for disparate live media output stream playout and broadcast distribution are provided. The system generates a plurality of disparate live media output stream manifests, which comprises at least one of an index of a plurality of pre-encoded media assets or a plurality of live input streams, based on playout schedule and content viewing demographics. The system further generates a new version of at least one disparate live media output stream manifest based on insertion of a segment of at least one of a pre-encoded media asset or a live input stream into the disparate live media output stream manifest. Each segment corresponds to a different quality level and a different content encryption mode. The system further retrieves one or more broadcast content segments encoded in first encoding format of the new version, and converts retrieved broadcast content segments to second encoding format.