Disney seeks to acquire Fox’s media and entertainment assets
Walt Disney (DIS) is reportedly in talks with 21st Century Fox to purchase some of its assets. However, there is no certainty that these negotiations would lead to an official merger deal.
As reported by CNBC, the management of 21st Century Fox is willing to keep its news and sports assets and sell its movie studios and significant international assets such as its Sky and Star networks.
Disney is also reported to be interested in entertainment networks such as FX and National Geographic. The deal is expected to help the media company at a time when the company is looking to invest in streaming offerings.
Disney plans to offer two direct-to-consumer offerings: one for sports and one including key franchises such as Star Wars and the Marvel Universe.
Disney is breaking ties with Netflix
Recently, Disney announced that it would pull all its movies from the Netflix platform, as the company plans to launch an online video streaming service in 2019. Disney wants to gain from the lucrative online streaming market, which is dominated by Internet giants Alphabet’s (GOOGL) YouTube, Amazon (AMZN), and Netflix (NFLX).
Disney plans to release its movie app in 2019. Disney is also planning to launch an advanced version of its ESPN-based multisport video-streaming app by mid-2018.
Disney has recently increased its stake in BAMTech to 75.0%. BAMTech is a dominant player in streaming technology services. This acquisition could aid the media giant with advanced streaming technology and help boost its top line, which has remained soft due to the weak media and studio entertainment market.