Disney set to take full ownership of Hulu in landmark $8.61 billion deal

Nov 01, 2023 in "Hulu"

Posted: Wednesday November 1, 2023 4:$4pm ET by WDWMAGIC Staff

The Walt Disney Company is set to expand its share in the streaming market by acquiring Comcast Corp.'s 33% stake in Hulu. This move comes as Comcast exercised its right on November 1 to sell its share under the put/call agreement with Disney.

 

This deal, which Disney anticipates will cost around $8.61 billion, is based on Hulu's $27.5 billion minimum guaranteed value, a figure agreed upon in 2019. The price reflects NBC Universal's (NBCU) share of Hulu's value minus the expected capital contributions that NBCU owes to Disney.

This acquisition marks a significant step for Disney in bolstering its streaming services as it takes full ownership of Hulu.

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EPCOT-O.G.1 day ago

And people said he wouldn’t pay to build another gate in Orlando!

Disstevefan11 day ago

The Moles Family1 day ago

That's Epic Universe and and Kids resort parks paid for. Thanks Iger

DCBaker1 day ago

Update on the process to purchase the remaining stake in Hulu from Comcast via Deadline. "Comcast has collected what it hopes will be a first payment from Disney for its stake in Hulu, marking “the beginning of a process” to value the streamer, company President Mike Cavanagh said at a media conference Monday. The anticipated $8.5 billion dollar check arrived Friday, he told investors at a UBS media conference in NYC. Disney said it that it will acquire the remaining 33% stake in Hulu it doesn’t already own from the NBC Universal parent. A deal between the Hulu owners established a floor of about that amount. Any additional payout, or not, will depend on an evaluation process underway with both companies and their investment banks. The process was moved up — to this fall from January of 2024 — and the Disney check was due Dec. 1. The 2019 agreement included a put/call that allowed Comcast to ‘put’ its stake to Disney, or the Bob Iger-run company to buy it. Iger wasn’t sure at first but ultimately decided owning the asset in full makes sense. The “check cleared, it’s in the account,” Cavanagh said. “We expect, and certainly hope to get more than that once the process ends. But it’s really just the beginning,”" https://deadline.com/2023/12/comcast-disney-hulu-mike-cavanagh-1235650499/

Disney Irish4 days ago

That period piece looks good and has a great cast.

MisterPenguin4 days ago

https://www.hollywoodreporter.com/tv/tv-news/only-murders-in-the-building-abc-january-2024-1235702349/

MisterPenguin4 days ago

This conglomerate's initial content offerings was 90% public domain or licensed content. Very little original IP from the outset.

doctornick4 days ago

No idea, but I feel like we’ve seen that individual ad tier customers generate more monthly revenue than similar non ad ones. So it’s got to be something like at least $10/mo per sub to make up that difference

The Moles Family4 days ago

Just for my curiosity, but is there an estimate on how much add revenue is generated per Disney+ subscriber a month on average?

EPCOT-O.G.5 days ago

There’s something… ironic… about how the largest multimedia conglomerate in the world is going to make a large chunk of its ad revenue from its streaming service on the back of an Australian public television cartoon licensed out of the UK.

MarvelCharacterNerd5 days ago

Yeah, there was a renewal option to go from $80/year with no ads to $140/year. I noped out then jumped in on the $3/month D+/Hulu bundle deal. So they went from my $80/year for D+ alone to $36 for the bundle with ads. Guess they figure they'll be making at least $44 worth of ad revenue from me to make up the difference.

LSLS6 days ago

As of 3 weeks ago I had the option for annual for no ads, but not with ads.

Captain Barbossa7 days ago

Canceled my subscription yesterday, but played around before and after doing so and it appears that a yearly subscription is no more? For for both basic (with ads) and premium (no ads) the only option was monthly. Did I miss something?

MrPromey8 days ago

Interestingly enough, this is where Disney's hiding their Disney+ Black Friday promotion. If you sign up for this promotion with an account not connected to an active Disney+, they'll offer you Disney+ with ads for 12 months as a $2 ad-on. (Reminder, this same plan is $7.99 a month, currently) So much for dropping the low paying accounts, I guess. Sneaky way of doing it though while trying to avoid their main audience noticing and trying to jump ship for that pricing. Speaking of the ads, I think Disney's got their work cut out for them. It was kind of funny seeing the same Papers Flushable Wipes ad across each commercial break over the course of two Deadpool movies. 😏