Hulu Live TV and Fubo to Merge

[Bruce]

I posted here last year, that Disney wanted to separate Hulu Live from Hulu, this is one way to do so and get rid of the lawsuit.

In a move that could reshape the landscape of online television, Walt Disney Co. and streaming provider FuboTV Inc. are reportedly nearing a deal to combine their live TV businesses. Sources close to the matter reveal that Disney plans to fold its Hulu + Live TV service into Fubo, creating a new entity that would become the second-largest digital pay-TV provider in the US, according to a report from Bloomberg.

Under the proposed agreement, Disney would hold a 70% stake in the new venture, with Fubo retaining the remaining 30%. The deal specifically focuses on the live TV components of both services, leaving Hulu’s on-demand streaming library untouched. Both the Fubo and Hulu + Live TV brands will continue to operate independently.

The deal also brings an unexpected resolution to a legal battle between the two companies. Fubo had previously filed a lawsuit against Disney, Fox Corp., and Warner Bros. Discovery over their joint venture, Venu Sports, alleging anti-competitive practices. As part of the merger agreement, Fubo will reportedly drop these claims, clearing the path for Venu Sports’ launch.

Disney's Hulu + live TV and Fubo to Reportedly Merge Live TV Businesses As Fubo Would Drop Its Lawsuit | Cord Cutters News

In a move that could reshape the landscape of online television, Walt Disney Co. and streaming provider FuboTV Inc. are reportedly nearing a deal to combine their live TV businesses. Sources close to the matter reveal that Disney plans to fold its Hulu + Live TV service into Fubo, creating a new...

cordcuttersnews.com

 

[navychop]

Will they both fit in the same cofffin?

 

[Bruce]

Will they both fit in the same cofffin?

Actually, both Hulu Live and Fubo combined, will have more subscribers then Dish, while YTTV has more than Dish and Sling combined already.

You might want to rethink that Coffin comment.

 

[glrush]

Gift link from the WSJ:

https://www.wsj.com/business/media/disney-and-fubotv-to-merge-live-tv-streaming-services-3c78d776?st=wi7XZY&reflink=desktopwebshare_permalink

 

[navychop]

K-Mart and Sears. Competition.

 

[b4pjoe]

Both the Fubo and Hulu + Live TV brands will continue to operate independently.

So the headline of this post sounds like the two services will merge into one service but the quote above states the two will continue to operate independently. Which is it?

 

[Bruce]

So the headline of this post sounds like the two services will merge into one service but the quote above states the two will continue to operate independently. Which is it?

Separate from regular Hulu.

 

[b4pjoe]

Separate from regular Hulu.

So the two live TV services will merge into just one live TV service?

 

[Bruce]

So the two live TV services will merge into just one live TV service?

Yes.

 

[cpalmer2k]

That would give Fubo some element of credibility being linked to Disney, and would help solve their $$ issues. I'm all in favor of them getting out of the way of Venu as well.

 

[mackie99]

Yes.

Not according to this article...

The merger brings together over 6.2 million North American subscribers from both services. While both Fubo and Hulu + Live TV will continue to operate as separate offerings, the deal unlocks significant potential for synergy. Fubo, known for its comprehensive sports coverage, will gain access to Disney’s premier sports and broadcast networks, including ESPN, ABC, and ESPN+, allowing them to create a new, dedicated Sports & Broadcasting service. Hulu + Live TV, with its strong entertainment lineup, will continue to be offered within the Hulu app and as part of the popular Disney Bundle alongside Disney+ and ESPN+.

 

[Bruce]

That would give Fubo some element of credibility being linked to Disney, and would help solve their $$ issues. I'm all in favor of them getting out of the way of Venu as well.

I believe Venu is dead, if they try to start it up again, DirecTV/Dish/Comcast/YTTV, etc could bring the same exact lawsuit, even if unsuccessful, would delay it another year or more.

 

[Bruce]

Not according to this article...

The merger brings together over 6.2 million North American subscribers from both services. While both Fubo and Hulu + Live TV will continue to operate as separate offerings, the deal unlocks significant potential for synergy. Fubo, known for its comprehensive sports coverage, will gain access to Disney’s premier sports and broadcast networks, including ESPN, ABC, and ESPN+, allowing them to create a new, dedicated Sports & Broadcasting service. Hulu + Live TV, with its strong entertainment lineup, will continue to be offered within the Hulu app and as part of the popular Disney Bundle alongside Disney+ and ESPN+.

That is updated from my original link.

And it makes no sense, why have a combined company and not merge, unless they will offer two different services, one sports centric, one not.

Going to wait until the official press release later today.

 

[mackie99]

That is updated from my original link.

And it makes no sense, why have a combined company and not merge, unless they will offer two different services, one sports centric, one not.

Going to wait until the official press release later today.

I agree. It doesn't make sense to keep both.

 

[savarese04]

They are going to be separate services for the immediate term because nobody can merge IT platforms that quickly, but they absolutely will merge. Think of when Fandango acquired Vudu. They lived separately for like 18 months until Fandango eventually swallowed Vudu and killed it. That's what will happen here. The only question is what brand name will survive? My guess is Hulu as Hulu Live TV is confusing vs standard Hulu and my long-term suspicion is that standard Hulu may not be long for this world (another two brands under one roof situation)

 

[b4pjoe]

And it makes no sense, why have a combined company and not merge, unless they will offer two different services, one sports centric, one not.

I agree. It doesn't make sense to keep both.

I thought that is what it said and it makes no sense.

Fubo, known for its comprehensive sports coverage, will gain access to Disney’s premier sports and broadcast networks, including ESPN, ABC, and ESPN+

Not sure how that ties in as Fubo has access to two of those already.

 

[meStevo]

Fubo gets cash, content and a desired partnership, and probably elimination of Hulu + Live in the distant future after system integrations. The Venu Sports group gets their primary threat/litigant sidelined and potentially a path forward to launching that service.

They were quasi-acquired, as the new operation will be run by Fubo and under their existing brand, but 70% owned by Disney.

 

[savarese04]

Fubo, known for its comprehensive sports coverage, will gain access to Disney’s premier sports and broadcast networks, including ESPN, ABC, and ESPN+, allowing them to create a new, dedicated Sports & Broadcasting service.

Reading between the lines, this makes me wonder if Venu lives on here, as "Fubo Sports." I don't how Fox/WB will feel about this because they'll have no ownership stake, but maybe that's not what they cared about anyway? Any revenue is good revenue at this point?

 

[Bruce]

Reading between the lines, this makes me wonder if Venu lives on here, as "Fubo Sports." I don't how Fox/WB will feel about this because they'll have no ownership stake, but maybe that's not what they cared about anyway? Any revenue is good revenue at this point?

As long as they receive per sub fees, they will be happy.

WB has MAX anyways, FOX still needs to make a side deal with a streaming services regarding it’s sports content, specially since it is losing so much $$$$ on it’s MLB deal.

The other benefit of Fubo becoming the new Venu, it carries the RSNs, as a optional fee, include that with the planned channels that would of been on Venu, might just attract the Sports Fans.

Depends on price of course.

 

[navychop]

“Merge” may not be the best word choice.

I suspect one IT system will be chosen, with functions transferred onto it. Likely standardize Payroll and Benefits and then move everyone over (hopefully in stages). Then AP and AR. That will drag along their finance module. Unique custom made features will take the longest.

Been there, done that.