The massive entertainment company Walt Disney Co. and streaming platform FuboTV have reached an agreement to merge their live television services as of Monday.

This merger aims to integrate Hulu + Live with FuboTV, which has a strong sports focus, paving the way for the debut of Venu Sports, a new streaming service from Disney’s ESPN, along with Warner Bros. Discovery and Fox.

Initially set to launch this fall, Venu Sports faced delays due to an antitrust lawsuit filed by Fubo. A judge recently granted a preliminary injunction preventing the rollout, citing concerns that it could “harm competition and raise consumer prices.” Court hearings were scheduled to commence on Monday.

In light of this, Disney, Warner Bros., and Fox have agreed to pay Fubo $220 million to resolve these legal challenges. Additionally, Disney plans to offer Fubo a $145 million loan due in 2026.

If the merger passes regulatory evaluations, what does the combination of Hulu + Live and FuboTV mean for sports fans? Expect an increase in choices alongside some added complexity.

Implications of the Hulu + Live and FuboTV Merger for Sports Enthusiasts

The merged entity, still awaiting a new name, will be predominantly (70%) owned by Disney and boast over 6 million subscribers, making it the second-largest fully digital TV service following YouTube TV.

On the positive side, sports fans would gain expanded options for viewing live events.

Under this agreement, Fubo would have the capability to establish a new sports and broadcasting service featuring various Disney channels, including the ESPN+ streaming platform. Meanwhile, subscribers can still choose to purchase Hulu + Live TV and Fubo as separate services.

Additionally, ESPN plans to introduce a standalone ESPN streaming service, called Flagship, later this year.

The Future of ESPN and Venu Sports

In August, Venu Sports revealed that its service would be priced at $43 a month, offering access to some of the most popular live sports on television, including NBA, MLB, NFL, and college games – significantly more affordable than typical cable packages which typically start at $100 per month. Fans will have the option to bundle Venu Sports with other services such as Disney+, Hulu, or Max.

What Lies Ahead? More Options and Further Complexity

The merger between Hulu + Live and Fubo is set to offer sports fans greater choices, but it also means that they will have to navigate a crowded marketplace due to fierce competition for sports broadcasting rights.

Sports programming captivates television audiences, leading all players in both traditional and digital TV to vie for the rights to stream NFL games and other leagues to maximize viewership. This competition results in games being spread across various platforms, which can create confusion for sports enthusiasts trying to keep track of where to find their favorite events.

“Is there a lack of options in the market? No. However, what consumers truly desire—a single service that consolidates all sports content—is currently nonexistent and unlikely to manifest,” stated streaming media analyst Dan Rayburn.

Will Streaming Live Sports Be More Expensive?

The Hulu + Live and Fubo agreement might provide additional avenues to curate a television lineup, yet the reality is that the cost of accessing live sports is on an upward trajectory. Will this merger improve or worsen the situation?

Rayburn indicated that the outcome is still uncertain. The crux of the issue: consumers face increasing subscription prices and regular hikes, which complicate loyalty to these services.

Regardless of the merger’s fate, it is unlikely that consumers will escape the relentlessly rising subscription fees that can accumulate to substantial amounts.

“All streaming platforms have raised their prices multiple times since their inception, whether on-demand or live programs, and this trend is expected to continue,” noted Rayburn.

Mike Proulx, a research director at Forrester, suggested that viewers should prepare for increased expenses as they tailor their television arrangements.

Furthermore, Proulx anticipates a wave of similar partnerships in 2025 as the television distribution landscape continues to evolve, shifting primarily online.