Fubo merges with Hulu in shocking $220 million deal

In a significant move in the streaming industry, Fubo, known for its focus on sports, finalized a merger with Disney's Hulu + Live TV, a deal worth $220 million. This announcement, made on January 6, 2025, is a resolution to the antitrust lawsuit that Fubo filed against Disney, Warner Bros Discovery, and Fox a year prior. The legal action alleged that these companies were hindering Fubo's growth as a sports-focused platform, which they claimed resulted in detrimental impacts on their service and the broader consumer market. The lawsuit highlighted an alleged coordinated effort to undermine Fubo's operations, culminating in Fubo successfully blocking the launch of the rival platform, Venu Sports, which was seen as a direct competitor. As part of the merger, Hulu + Live TV will not be absorbed entirely by Fubo but will operate as a joint venture, aiming to offer a unique selection of content to its consumers. The resulting company will manage over 6.2 million subscribers in North America, with Disney maintaining a majority stake of approximately 70%. The management team behind Fubo will continue to lead the combined entity, ensuring that both streaming services remain available to their customers. The merger will also enable Fubo to innovate, allowing the creation of a new sports and broadcast service that will include prominent Disney sports networks, adding more value to subscribers who are interested in sports content. This collaboration is being characterized as a positive development for shareholders, consumers, and the overall streaming industry, with Fubo's CEO, David Gandler, expressing optimism about the potential of this new partnership. The announcement marks a significant shift in the competitive landscape of streaming services, particularly in sports broadcasting, indicating an evolution in how content is provided and monetized in this dynamic market.