Disney Gains Full Control of Hulu Following Deal With Comcast

Tuesday May 14, 2019 7:34 AM PDT by Mitchel Broussard

Disney has slowly been acquiring a larger stake in Hulu, most recently thanks to its acquisition of certain assets owned by 20th Century Fox. According to Variety, today Disney has "full operational control" of Hulu thanks to a new deal with Comcast.

The deal's terms state that Comcast will retain its 33 percent ownership interest in Hulu through January 2024, after which time either side can demand that the sale of Comcast's Hulu stake go through.


Comcast's NBCUniversal division will continue to license content to Hulu through late 2024. However, the deal includes a few stipulations: as soon as 2020, NBCUniversal will have the right to pull programming that was previously exclusive to Hulu, and by 2022 NBCUniversal will be able to cancel most of its content-licensing agreements with Hulu.

Like most other companies, NBCUniversal has plans to launch its own streaming service within the next few years. The Comcast/Disney deal today includes an arrangement where NBCUniversal will be able to keep its shows on Hulu on a nonexclusive basis (with a reduced licensing fee), while also streaming them on its new service.

As it stands, Hulu today is a platform with content from a wide array of content providers, which upload episodes of TV shows as early as the day after they air on cable. In the past, Disney has said that it plans to keep Hulu as it is and focus its own properties on the Disney+ streaming service. According to CEO Bob Iger, Disney's full ownership of Hulu will create an "even more compelling" service.

“We are now able to completely integrate Hulu into our direct-to-consumer business and leverage the full power of The Walt Disney Company’s brands and creative engines to make the service even more compelling and a greater value for consumers,” Disney chairman/CEO Bob Iger said in a statement about the pact.

For its main streaming service, Disney has announced that Disney+ will launch this November for $6.99 per month. It will include exclusive original series like "The Mandalorian," and various TV shows based on Marvel and Pixar properties.

Top Rated Comments

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12 months ago
What Disney is doing should be completely illegal. This is an entertainment monopoly.
Score: 19 Votes (Like | Disagree)
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12 months ago
All these new subscription services fighting for my money are making it easier for me to just decide to watch less TV and go outside to experience real life! #SPF50
Score: 16 Votes (Like | Disagree)
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12 months ago
Netflix’s solo party is over. Disney + Hulu can easily overtake it in content availability.
Score: 3 Votes (Like | Disagree)
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12 months ago
End of Hulu as we know it at some point. Shame.

Since Disney will have Disney+ and everyone else competing with their own apps it’s only a matter of time Hulu has no other content than Disney+. At that point the consumer has multiple payments to multiple TV apps and paying much more than ever before for the same amount of content we were getting before.

Really hurts us, the consumer when monopolies are allowed to own everything,
Score: 3 Votes (Like | Disagree)
Avatar
12 months ago

All these new subscription services fighting for my money are making it easier for me to just decide to watch less TV and go outside to experience real life! #SPF50

I've got to agree. So many more choices than in the past, but I ultimately watch way less tv than I used to and I am more deliberate about what I am going to watch when I do watch tv.
Score: 3 Votes (Like | Disagree)
Avatar
12 months ago

All these new subscription services fighting for my money are making it easier for me to just decide to watch less TV and go outside to experience real life! #SPF50

I've got to agree. So many more choices than in the past, but I ultimately watch way less tv than I used to and I am more deliberate about what I am going to watch when I do watch tv.

Agreed here as well.

If you feel the need to subscribe to a dozen TV services, what you really need to do is change your lifestyle before you and your couch merge into one inseparable entity suffering from sedentary health problems.
Score: 3 Votes (Like | Disagree)

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