Earlier this month, Disney announced it intends to buy Comcast’s remaining shares of Hulu. Now, it appears Comcast is ready to sell its 33 percent stake as Disney’s CEO Bob Iger moves forward with a plan to bundle the streaming service into Disney+ along with ESPN+.
At the MoffettNathanson Technology, Media, and Telecom Conference earlier this week, Comcast’s CEO Brian Roberts ventured the company is likely to accept Disney’s buyout.
“I think it’s more likely than not that we go through with what we said all along…. at the beginning of next year. I think Disney recognized as anybody else would recognize that Hulu is really valuable,” said Brian Roberts. “I think we have a very valuable position,” regarding the immense scale of Hulu. A streaming service this large has never been sold before.
Per the terms of this deal, Hulu is valued at $27.5 billion and Comcast’s portion totals around $9.2 billion. However, Roberts has stated he thinks Comcast’s remaining stakes could be considered significantly more valuable as Disney would acquire “all the content from Disney and Fox forever”.
In January of next year, both Disney and Comcast can force the sale of Hulu, which currently has 48.2 million subscribers. Disney intends to combine the services into a single streaming app by the end of 2023.
CEO Bob Iger leads the negotiations on Disney’s end and has said the companies are both in agreement to sell, though how much per share has yet to be determined. Sources state Iger stated, “How that ultimately unfolds is, to some extent, in the hands of Comcast and in the hands of… a conversation or a negotiation that we have with them.” Iger remains optimistic about reaching a fair deal between Disney and Comcast.
Check back with Cord Cutters News as more details about terms surrounding the “likely” sale of Hulu are decided.