Disney now has access to a huge library of movies and shows
The Walt Disney Company (DIS) has finally closed on its acquisition of most of 21st Century Fox’s assets for $71.3 billion.
The acquisition was the latest example of media companies merging in order to take on the intense competition from OTT (over-the-top) streaming companies such as Netflix (NFLX). AT&T (T) also recently completed its $85 billion acquisition of Time Warner.
The company will be launching its own streaming platform, Disney+, which is likely to include Disney’s entire movie library—including those films made by studios it owns, such as Marvel, Pixar, and Lucasfilm.
Disney will build on its dominance in Hollywood
Disney will also have access to Fox’s library of movies and shows, including Deadpool and How I Met Your Mother, although it’s not known how Disney will deploy them yet. The acquisition also means that it now owns 60% of US streaming service Hulu.
Disney will also further strengthen its position in Hollywood following the acquisition. Despite the dominance of streaming giants such as Netflix, Disney is still able to draw huge numbers at the box office.
The acquisition also means that Disney owns Star India, which owns Hotstar, by far the biggest OTT streaming platform in the fast-growing OTT market in India. Netflix and Amazon Prime Video are still catching up in the Indian market.
Fox’s News and Sports divisions, including Fox News, Fox Sports, and the Fox broadcast network, are now part of Fox Corporation.