Disney Sets Deal To Acquire Most Of Fox, A Game-Changing Deal That Will Redraw Hollywood Landscape

[osu1991]

Disney Sets Deal To Acquire Most Of Fox, A Game-Changing Deal That Will Redraw Hollywood Landscape

The Walt Disney Co. announced its acquisition of a major portion of 21st Century Fox in a deal that dramatically remakes the entertainment landscape and positions the media giant for the future.

The deal, officially valued at $66.1 billion including assumption of debt, will create an entertainment colossus that expands Disney’s footprint in every area. The agreement encompasses Fox’s prolific film and television studios, its FX and National Geographic cable networks, Fox’s regional sports networks, its 39% stake in U.K. satellite television provider Sky and its international cable networks, including Star India. It also includes one of the most coveted film libraries in the game — something that will be important as Disney pursues its ambitions to become a streaming media giant that challenges Netflix and forges direct relationships with consumers.




Disney is paying $52.4 billion in stock for Fox assets in an all-stock deal that would leave Fox investors owning a 25% stake of Disney. Fox’s shares closed at $32.75 yesterday. The deal gives Fox shareholders 0.2745 Disney shares for each Fox share they own.

 

[SamCdbs]

IMHO,

- Legal. The government will, and should, look long and hard at this. This gives Disney near monopoly power over certain entertainment segments.

- Remnant. The remnant Fox will be a lot like CBS Inc, currently by far the smallest of the big networks. Owning only the Fox News Channel/Business Network, the broadcast network and the O&O stations, and its national sport channels (FS1 & 2, Big 10 network). Without any production capability (network traditionally have their own in house production companies that make filmed prime time shows, for themselves and even rival networks). Fox falls back to being the eternal 4th network, buying content from others that the bigger 3 pass on.

- Disney. Disney is so bereft of ideas it has spent two decades buying other companies characters.

- Sports. This is the part that concerns me. ESPN gets the Fox Sports Net which is the regional sports channels that carry the local MLB, NHL, and NBA teams, and some local college content for about 80% of the country. ESPN is currently totally inept at coverage of two of those three sports. And they are the only game in town now. This is very bad for baseball and hockey, and very bad for fans of baseball and hockey.

 

[satjay]

From what I read looks like ABC is continuing to double down on sports programming. I find that a bit interesting with the recent declines that have been happening, but I am guessing they see something I don't Also I don't know what to expect but not a fan of them obtaining local RSN's I guess we shall see.

 

[osu1991]

I see nothing good about this, other than Disney Marvel getting the rights back to X-Men and Fantastic Four

 

[ncted]

This will be an interesting test of the DOJ's commitment to the arguments against the AT&T/TW deal. If they apply the same standard about a single media company having too much control over the market, they should fight it.

If it goes through, then Dish will be in a worse bargaining position. If I were Dish, I would partner with Netflix to create linear cable channel that showed Netflix content 24/7 for all those who cannot get decent Internet access at their homes. Just an idea anyway.

 

[AZ.]

IMHO,

- Legal. The government will, and should, look long and hard at this. This gives Disney near monopoly power over certain entertainment segments.

- Remnant. The remnant Fox will be a lot like CBS Inc, currently by far the smallest of the big networks. Owning only the Fox News Channel/Business Network, the broadcast network and the O&O stations, and its national sport channels (FS1 & 2, Big 10 network). Without any production capability (network traditionally have their own in house production companies that make filmed prime time shows, for themselves and even rival networks). Fox falls back to being the eternal 4th network, buying content from others that the bigger 3 pass on.

- Disney. Disney is so bereft of ideas it has spent two decades buying other companies characters.

- Sports. This is the part that concerns me. ESPN gets the Fox Sports Net which is the regional sports channels that carry the local MLB, NHL, and NBA teams, and some local college content for about 80% of the country. ESPN is currently totally inept at coverage of two of those three sports. And they are the only game in town now. This is very bad for baseball and hockey, and very bad for fans of baseball and hockey.

Why should or will anything change?...........NBC/Comcast, ATT/Direct......This will just get approved like everything else.....

We live the the Corporate States of America!................NOTHING WILL CHANGE!

 

[Jim5506]

Fox Sports and Fox News are NOT part of the deal!

 

[comfortably_numb]

Fox Sports and Fox News are NOT part of the deal!

The article specifically states that the deal includes Fox RSN's: "The agreement encompasses Fox’s prolific film and television studios, its FX and National Geographic cable networks, Fox’s regional sports networks..."

I'd like to see more baseball games on local channels like the old days. I know it ain't gonna happen, but still.

 

[osu1991]

The article specifically states that the deal includes Fox RSN's: "The agreement encompasses Fox’s prolific film and television studios, its FX and National Geographic cable networks, Fox’s regional sports networks..."

I'd like to see more baseball games on local channels like the old days. I know it ain't gonna happen, but still.

It includes the RSN’s but not Fox Sports 1 and 2

 

[ChadT41]

Fs1 and FS2 are not RSNs. They are national sports networks, like ESPN.

 

[pattykay]

Fs1 and FS2 are not RSNs. They are national sports networks, like ESPN.

...but not too much like ESPN. (in other words, not owned by Disney)

 

[ChadT41]

Lol. True. Still competition. Let’s just hope that this doesn’t hurt the FS prices.

 

[MikeD-C05]

From what I read somewhere else the Rsns would be rebranded as ESPN rsns except for Fox 1 and 2 .

 

[comfortably_numb]

From what I read somewhere else the Rsns would be rebranded as ESPN rsns except for Fox 1 and 2 .

Good grief!

 

[Cheddar_Head]

Wonder how this affects the Big Ten network as that is currently a joint venture with Fox.

 

[zippyfrog]

Wonder how this affects the Big Ten network as that is currently a joint venture with Fox.

I don't think it will directly since Big 10 Network was kept by Fox.

 

[rvvaquero]

Loss of net neutrality is going to redraw the landscape a whole bunch more than this Fox deal.

 

[JSheridan]

Loss of net neutrality is going to redraw the landscape a whole bunch more than this Fox deal.

Good!

 

[ncted]

Good!

Agreed! Bring back the days of buffering Netflix and bring on the days of paying extra to get Dish Anywhere to work!

 

[ChadT41]

It truly is capitalism to the greatest degree. When the tv providers own the internet... haha.