Streaming services Fubo, Disney’s Hulu + Live TV agree to merger

CLEVELAND, Ohio — Disney has agreed to acquire a majority stake in Fubo, merging the live TV streaming service with its Hulu + Live TV platform. As part of the deal, Fubo has agreed to settle its antitrust lawsuit, which had been blocking the launch of Venu Sports— a sports-focused streaming service backed by ESPN, FOX, and Warner Bros. Discovery.

Disney will own 70 percent of the combined company, to be led by Fubo’s existing management team. Fubo and Hulu + Live TV will continue to be marketed separately after the deal closes. The joint venture — with 6.2 million total subscribers — aims to compete with YouTube TV, the industry leader with 8 million subscribers.

“We are thrilled to collaborate with Disney to create a consumer-first streaming company that combines the strengths of the Fubo and Hulu + Live TV brands,” said Fubo CEO David Gandler in a press release. “This combination enables us to deliver on our promise to provide consumers with greater choice and flexibility. Additionally, this agreement allows us to scale effectively, strengthens Fubo’s balance sheet and positions us for positive cash flow. It’s a win for consumers, our shareholders, and the entire streaming industry.”

Fubo currently offers more than 200 channels, including live regional and local sports networks, starting at $80 per month. But the merger will also allow Fubo to launch a new sports and broadcast service featuring Disney’s sports and broadcast networks, including ABC, ESPN, ESPN2, ESPNU, SECN, ACCN, ESPNEWS and ESPN+. Hulu + Live TV, priced at $83 per month, includes nearly 100 channels as well as access to Disney+ and ESPN+.

As part of the agreement, Disney, FOX, and Warner Bros. Discovery will make a $220 million cash payment to Fubo, clearing the way for Venu Sports to proceed. Disney has also committed to providing a $145 million term loan to Fubo in 2026. If the deal fails to secure regulatory approval, Fubo will receive a $130 million termination fee.

The companies expect the deal to close within 12 to 18 months, Variety reported.

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