This Tuesday, Comcast Corporation and The Walt Disney Company have announced their control over Hulu. Walt Disney has taken entire operations of Hulu under its control. NBC Universal owns 33% of Hulu’s rights. It is a company of Comcast.
These two companies stated that by January 2024, Comcast might ask Disney to take the rights of Hulu from NBC Universal. Disney can request NBC Universal to sell it to Disney for better market value.
Disney has already revealed the sale price, and it says $27.5 billion. This deal is also includes funding of 9.5% interest of AT&T Inc. in Hulu. It is updated that the changes will take immediate action for the companies. The customers will not face trouble with this sudden change. The press release confirms that they will give time.
Disney launches its streaming service Disney+
NBC Universal consists of Hulu’s licensing agreements which can be now ended. This step by Disney will allow Disney streaming services to go beyond limits. This news came just a month ago, which stated the release of Disney’s streaming service, Disney+. Now, this will be available to the audience by November. Disney has planned on launching a sports package, ESPN+.
This service claims to include the entire Disney library. It will include Star Wars, Marvel, and Pixar’s content.
Intentions of Disney on owning Hulu
Hulu might be the critical element for Disney to help its Direct-to-Consumer strategy. This will assist Disney in bringing more adult entertainment segments along with Disney+, releasing in November. Disney is now launching its sports package, ESPN+. Disney commits to giving a discount in future on trio subscription deals.
Christine McCarthy, CFO of Disney, said that by the end of 2024, Hulu would make business up to 60 million paid subscribers. It will be double as in 2018. Disney is expecting a loss of $1.5 Billion after the operating rights shift. Disney believes in coping up promptly by 2023.