Disney to Merge Hulu + Live TV with Fubo; Disney to Own 70%, Fubo CEO to Lead

Jan 6, 2025, 03:23 PM

Disney is nearing a deal to combine its Hulu + Live TV business with Fubo, forming the second-largest digital pay-TV provider in the United States behind YouTube TV. Under the agreement, Disney will fold Hulu + Live TV into Fubo, creating a new venture that will be 70% owned by Disney and led by Fubo CEO David Gandler. The combined company will have over 6.2 million subscribers in North America. As part of the deal, Fubo plans to drop its legal claims over Venu Sports, and Disney, Fox Corp., and Warner Bros. Discovery will make a $220 million aggregate cash payment to Fubo. Additionally, Disney has committed to provide a $145 million term loan to Fubo in 2026. The new entity will operate under the Fubo name, and Fubo will remain publicly listed. The merger aims to challenge YouTube TV and offer consumers a robust live TV streaming option.