Fubo and Hulu Live TV are officially joining forces.
After some buzz earlier this year about the groundbreaking transaction, it’s now done. The two companies was announced on Wednesday that they completed their deal to combine Fubo’s sports platform with Hulu’s live TV service, following a nod of approval from Fubo shareholders last month.
This is a game changer in the streaming landscape as the new entity becomes the sixth largest pay TV provider in the US, with nearly 6 million subscribers. This puts the new company in direct competition with YouTube TV, which leads with around 10 million subscribers.
Although this deal creates a larger entity and affects market competition by reducing the number of independent streaming players, sources report that Disney and Fubo have received clearance from the Department of Justice’s antitrust division to proceed with the transaction;
A key feature is the integration of Fubo’s sports offering with Hulu’s comprehensive entertainment library. Together, the platform offers an impressive lineup of over 55,000 live sporting events each year, a major draw for sports fans. Additionally, Fubo subscribers will have access to a significant collection of popular shows and movies previously unavailable to them.
Another advantage of the merger is that it will offer customers more flexible options. The companies plan to offer several plan options, including smaller “skinny” bundles and more “robust” offerings, all at prices the two companies consider competitive.
However, users will still have access to both platforms separately – Fubo will keep its own app, while Hulu Live TV will remain part of the Hulu platform, which is included in Disney’s bundle that includes Hulu, Disney+ and ESPN Unlimited.
Disney will own about 70% of the shares in the new company, while existing Fubo shareholders will retain about 30%. In addition, the combined company will have access to a $145 million term loan that Disney agreed to provide to Fubo in 2026 as part of the transaction.
This announcement comes on the heels of interesting developments regarding Paramount’s interest in acquiring Warner Bros. References indicate that Paramount CEO David Ellison wants to discontinue HBO Max as a standalone streaming service and merge its content and user base into Paramount+.
