Fubo Shareholders Approve Deal with Hulu Live TV
Fubo, a prominent live sports TV streaming service, recently secured approval from its shareholders for a significant transaction with Disney. This merger aims to combine Fubo with Hulu Live TV, a move originally announced in January. This collaboration could potentially shake up the streaming landscape and level the competition against larger rivals like YouTube.
Significance of the Merger
YouTube TV currently boasts approximately 10 million subscribers, thanks largely to its extensive live sports content. In contrast, the combined subscriber count of Hulu Live TV and Fubo is around 6 million. The merger is a strategic effort to bridge this competitive gap in the streaming market.
Potential Benefits for Consumers
The newly formed entity might offer sports fans more flexible viewing options. Plans are underway to introduce a Hulu-branded package that could grant subscribers access to Disney’s streaming services—Disney+, Hulu, and ESPN—without any additional charges. Furthermore, Fubo has announced a new, cost-effective sports-only package aimed at enhancing viewer choice.
Next Steps in the Approval Process
Despite this shareholder approval, the merger still requires regulatory sanction. The implications of this deal, which will create a more formidable competitor, raises concerns about reducing the number of independent streaming options available in the market.
Ownership Structure
Once completed, Disney is expected to hold about 70% ownership in Fubo. However, Fubo has reassured its audience that it will maintain its status as an independent service. The company plans to operate under a single leadership structure, with David Gandler, co-founder and CEO of Fubo, overseeing both Fubo and Hulu Live TV operations.
- Current Subscribers: YouTube TV: 10 million; Fubo and Hulu Live TV: 6 million
- Ownership Post-Merger: Disney to hold 70% of Fubo
- New Offerings: Potential Hulu-branded package including Disney+, Hulu, and ESPN
