((Automated translation by Reuters, please see disclaimer https://bit.ly/rtrsauto))
(Added information on FuboTV and details on Hulu + Live TV in paragraphs 9 and 10)
Walt Disney Co DIS.N and sports streaming provider FuboTV FUBO.N are close to a deal to combine their live online television businesses, Bloomberg News reported Monday, citing people familiar with the matter.
Disney will integrate its Hulu + Live TV business into FuboTV, creating a new company that will be 70% owned by Disney and the rest by FuboTV, according to the report.
Disney and FuboTV did not immediately respond to Reuters’ requests for comment.
Following the report, shares of FuboTV, which had a market value of about $480 million at the last close, jumped nearly 32% to $1.90 in pre-market trading. walk. Disney saw a marginal increase.
FuboTV shares are down more than 60% in 2024, due to slowing revenue growth and intensifying competition from larger rivals.
As part of the deal, Fubo plans to drop its lawsuits against Disney, Fox Corp FOXA.O and Warner Bros Discovery WBD.O over Venu Sports, according to the report, removing an obstacle to the rollout of their future sports streaming platform.
Last February, FuboTV filed a lawsuit against the major media companies, claiming that Venu would violate US competition law by reducing competition and driving up prices. A district court judge ruled that Fubo had a chance of winning his case and issued an injunction temporarily banning the launch of Venu.
The three media majors will ask the US Court of Appeals on Monday to overturn the ruling that blocked the launch of Venu.
The Bloomberg report says the deal does not include Hulu’s subscription video streaming business. Hulu offers a library of on-demand streaming content, while Hulu + Live TV gives consumers access to Hulu content, as well as more than 90 live TV channels.
The Hulu + Live TV subscription, which includes content from Disney+ and ESPN+, is priced at $82.99 per month. Hulu also offers a “Live TV Only” option, which does not include the Hulu streaming library or access to Disney+ or ESPN+, for $81.99 per month.
