Disney Merges Hulu Live TV With Fubo in Major Streaming Deal

A major new player has emerged in the competitive streaming television market. Disney and Fubo have officially merged their Hulu + Live TV operations, creating the second-largest virtual pay-TV provider in the United States. This newly formed entity, in which Disney holds a controlling 70% stake, now serves close to six million subscribers across North America. Its scale is only surpassed by Google’s YouTube TV, which is itself currently navigating a carriage-renewal dispute with Disney.

The path to this joint venture began earlier this year when the agreement was first announced. As a direct result of the partnership, Fubo agreed to drop its antitrust lawsuit that had sought to block Venu Sports, a sports-centric streaming service proposed by Disney, Fox Corp., and Warner Bros. Discovery. That particular joint venture was subsequently dissolved. The U.S. Justice Department’s Antitrust Division provided the necessary regulatory clearance for the Disney-Fubo merger to proceed, according to individuals familiar with the approval process.

An important operational shift sees Fubo’s advertising sales team transitioning to Disney’s advertising sales organization. For consumers, however, the Fubo and Hulu + Live TV services will remain separate and distinct. Each platform will continue to offer its own range of subscription plans, from more limited options to comprehensive packages, all marketed at competitive prices. Hulu + Live TV will still be accessible through the Hulu application and will be offered as part of a bundle that includes Disney+ and ESPN+. Together, the combined resources of the new company provide access to an extensive library of over 55,000 live sporting events and a vast selection of entertainment programming.

The financial structure of the deal grants the combined company access to a $145 million term loan, which Disney has committed to provide in 2026. Company leadership anticipates realizing significant cost savings and revenue synergies through more flexible packaging of programming, optimized advertising strategies, and combined sales and marketing efforts.

Leading the new entity as its independent chairman is Andy Bird, a seasoned media executive with a background that includes serving as chairman of Walt Disney International. Bird expressed his enthusiasm, stating that bringing together these two industry-leading brands provides a unique set of resources to meet the dynamic needs of modern consumers. Day-to-day operations will be managed by Fubo’s existing leadership team, headed by Co-founder and CEO David Gandler. Gandler emphasized that the partnership with Disney aligns with Fubo’s long-standing vision to build an innovative, consumer-first streaming platform that offers greater choice and drives sustainable growth.

The newly constituted board of directors is chaired by Andy Bird and includes Gandler, along with several other prominent figures. These include Daniel Leff, a venture capital managing partner, and Ignacio “Nacho” Figueras, a renowned polo player and entrepreneur. The board also features several high-ranking Disney executives, ensuring significant oversight from the majority stakeholder.

With the transaction complete, all of Fubo’s existing common stock was automatically converted into Class A common stock on a one-for-one basis. These shares continue to be publicly traded on the New York Stock Exchange under the ticker symbol “FUBO.” Gandler noted that the merger rewards the retail shareholders who have supported Fubo’s mission from its inception, providing the scale and strategic clarity needed to create lasting value. In a related administrative change, Fubo has adjusted its fiscal year to conclude on September 30, with the first full fiscal year for the combined company ending on September 30, 2026.

(Source: Variety)