The entertainment powerhouse Walt Disney Co. and the streaming service FuboTV announced on Monday that they will merge their online live television operations.

This merger will join Hulu + Live with the sports-focused FuboTV, paving the way for the launch of Venu Sports, a new streaming service from Disney’s ESPN, Warner Bros. Discovery, and Fox.

The launch of Venu Sports was initially planned for this fall but was postponed due to an antitrust lawsuit filed by Fubo. A judge issued a preliminary injunction in August, stopping the sports streaming service on the grounds that it could “harm competition and raise costs for viewers.” Court hearings on this issue commenced on Monday.

In an effort to settle the legal battle, Disney, Fox, and Warner have agreed to pay Fubo $220 million, with Disney also offering a $145 million term loan to Fubo for 2026.

If the merger is approved by regulators, what can sports fans expect from the Hulu + Live and FuboTV combination? More options, but also more confusion.

Impacts of the Hulu + Live and FuboTV Merger on Sports Fans

The new entity, which would be predominantly owned (70%) by Disney, has yet to be named. It is projected to have over 6 million subscribers, positioning it as the second largest fully digital TV service after YouTube TV.

This merger would provide sports enthusiasts with additional avenues to watch live events.

As part of this arrangement, Fubo would launch a new service featuring multiple Disney networks along with its ESPN+ offering. Viewers will still have the option to subscribe separately to Hulu + Live TV and Fubo.

Additionally, ESPN plans to unveil a standalone streaming service named Flagship by the end of this year.

ESPN and Venu Sports: What’s Next?

Venu Sports mentioned in August that its service would be priced at $43 monthly and would feature some of the most popular live sports, such as NBA games, Major League Baseball, NFL matches, and college sports teams – at a significantly lower cost than traditional cable, which often exceeds $100 per month. Sports fans will also be able to bundle the Venu Sports subscription with other services like Disney+, Hulu, or Max.

What’s Ahead? Increased Options and Challenges

The merger of Hulu + Live and Fubo will present sports fans with a wider selection but will still require navigating an increasingly technical landscape due to fierce competition for broadcasting rights.

Sports programming dominates the ratings, prompting all players in both traditional and digital arenas to vie for the rights to showcase NFL games and other major leagues, resulting in a disarray of games across broadcast, cable, and online platforms, making it difficult for viewers to find what they want.

“Are consumers lacking options? No. But what they truly desire is absent from the market and likely always will be. They wish for a singular service that encompasses every facet of sports content imaginable. That simply won’t happen,” remarked Dan Rayburn, an analyst in the streaming media industry.

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Will Live Sports Streaming Costs Increase?

The Hulu + Live and Fubo merger could potentially create a more flexible TV lineup, but the costs associated with live sports are rising dramatically. Will this deal alleviate or exacerbate this issue?

Rayburn mentioned that the effects remain uncertain. Ultimately, increased subscription fees and regular price increases have consistently been a part of the streaming landscape, challenging customer loyalty.

Regardless of whether the merger proceeds, viewers are unlikely to be spared from rising monthly fees that could accumulate into significant expenses.

“Every streaming service has experienced multiple price hikes since inception, whether on-demand or live, and this trend is expected to continue,” Rayburn added.

According to Mike Proulx, a research director at Forrester, consumers should prepare for escalating costs “as they assemble their television packages piece by piece.”

Furthermore, Proulx anticipates more mergers in 2025 “as the method of television distribution transitions primarily to online platforms.”