Disney plans to acquire AT&T’s stake in online streaming platform Hulu

By Nikita Chaurasia  | Date: 2019-02-28

Disney plans to acquire AT&T’s stake in online streaming platform Hulu

Gaining a majority stake in Hulu could help Disney in taking its streaming services international and cater to a more adult audience

Reports indicate that Disney is in active discussions with AT&T to acquire its 10 percent interest in Hulu, the online entertainment platform. The deal could potentially bring in about $1 billion for AT&T, while giving Disney up to 70 percent ownership of Hulu, as it already holds a 30 percent stake and is about to buy 21st Century Fox, which is owning another 30 percent.

Sources familiar with the matter stated that Disney would get closer to having complete control of a property that it has invested considerable interest in, whereas for AT&T, it will be able to utilize the estimated $960 million to pay down part of its massive debt of approx. $183 billion.

Supposedly, AT&T executives had stated in October 2018 that the company would cut down at least $20 billion worth debt in 2019 itself. Selling of the minority stake in Hulu could expedite that process, sources commented.

It seems AT&T is focused in the upcoming streaming service of its WarnerMedia business, though Disney has set eyes on two services, Hulu and Disney+. Disney+ is reportedly launching later in the year, in domestic market at first, and would offer exclusive Disney TV shows and movies. Obtaining majority stake in Hulu could assist the company in taking the streaming service international, serving to a more adult audience.

Disney CEO Bob Iger had mentioned in November that after the 21st Century Fox deal is closed and the company owns 60 percent of Hulu, Disney executives would meet Hulu’s board and management team for discussing opportunities existing globally and investing more in content.

Comcast, the other owner having a 30 percent stake in Hulu, probably would not look to sell its interest in the streaming service. Comcast subsidiary NBC Universal’s CEO, Steve Burke, had confirmed to investors recently that the company is not interested in selling its stake in Hulu anytime soon.

About Author

Nikita Chaurasia     aeresearch.net

Nikita Chaurasia

An accomplished professional in the field of content development, playing with words comes naturally to Nikita Chaurasia. After completing her post-graduate MBA degree in Advertising and PR, Nikita worked across numerous content-driven verticals, undertaking diverse r...

Read More >>

More News By Nikita Chaurasia

Pacific Island pushes Japan to delay wastewater release from Fukushima

Pacific Island pushes Japan to delay wastewater release from Fukushima

By Nikita Chaurasia

Pacific Island nations have reportedly pushed Japan to postpone the release of Fukushima nuclear power plant wastewater due to concerns that it may pollute fishing grounds. An appeal was made on Wednesday when Japan announced that treated sewage f...

Activist groups take Danone to court over excessive use of plastics

Activist groups take Danone to court over excessive use of plastics

By Nikita Chaurasia

Danone, the French bottled water and yogurt firm, is reportedly being sued in court by three environmental activists’ groups for failing to cut its plastic footprint significantly. According to the groups, the maker of Evian and Volvic miner...

Bosch expands security with dashcams designed for rideshare drivers

Bosch expands security with dashcams designed for rideshare drivers

By Nikita Chaurasia

Bosch, the German technology company, has reportedly expanded its security footprint in the ridesharing market with the launch of its latest security dashcams. At CES 2023, Las Vegas, the German tech firm unveiled a new integrated smart camera on ...

Australia: PM Albanese denies potential $450M payout to Rio Tinto

Australia: PM Albanese denies potential $450M payout to Rio Tinto

By Nikita Chaurasia

Australia's Prime Minister Anthony Albanese has reportedly denied rumors that Rio Tinto and its partners could receive a $450 million settlement for the Gladstone power station, which would bring the total compensation for the coal price limit to...

UK: Firms still struggle with post-Brexit trading and red tape

UK: Firms still struggle with post-Brexit trading and red tape

By Nikita Chaurasia

Businesses in the UK are still reportedly grappling after two years following the beginning of post-Brexit trading, as suggested by a new report. According to the British Chambers of Commerce (BCC), firms are still battling increased red tape and ...