Why Disneys Hulu deal is a win for the companys streaming business
Summary
Walt Disney s (DIS) plan to buy the remaining stake of Hulu will give it full ownership of the platform, allowing it to merge its streaming operations on one app while generating fresh advertising opportunities. Disney, which already owns 67% of Hulu, announced Wednesday it had agreed to acquire the remaining stake from Comcast (CMCSA) in a deal valued at $8.61 billion. Disneys widely expected deal to acquire the remainder of Hulu comes as the company continues to struggle to make its streaming business profitable, even if losses have been narrowing of late. Still, Disney faces ongoing challenges around the fate of ESPN and its lagging linear television business, which could continue to weigh on the company when it next reports quarterly results on Nov. 8. NO FIDUCIARY OBLIGATION OR DUTY EXISTS, OR IS CREATED, BY VIRTUE OF YOUR RECEIPT OF ANY INFORMATION PROVIDED IN CONNECTION WITH THE INVESTING CLUB.