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Disney to merge Hulu Live TV with Fubo in groundbreaking deal
In a surprising deal announced on Monday, Disney is set to combine its Hulu Live TV business with Fubo, the live TV streaming service known for itsextensive sports coverage.
Under the terms of the deal, Disney will own about 70% of Fubo, which will continue to be available to viewers as a separate offering.
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This new deal is expected to shake up the streaming TV business as the combined Fubo and Hulu Live TV player will let it take on major competitor YouTube TV, which has over 8 million subscribers. Hulu Live TV and Fubo now have a combined 6.2 million subscribers.
The merger comes nearly a year after Fubo sued ESPN, Fox, and Warner Bros.
Discovery over Venu Sports, a proposed joint streaming venture between the three companies. Notably, the hearing was set for today, but Fubo has resolved all legal disputes as part of this transaction. Under the terms of the new agreement, the three companies will collectively pay Fubo $220 million, with Disney also offering a $145 million term loan extending through 2026.
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