Disney to Merge Hulu + Live Into FuboTV, Settle Venu Suit (1)

Walt Disney Co. agreed to merge its Hulu + Live TV streaming service with the online sports-focused company FuboTV Inc., creating the second-biggest digital pay-TV provider.

Under the transaction, Disney will fold Hulu + Live TV business into Fubo, creating a new venture that will be 70% owned by Disney and the rest by Fubo, Disney said in a statement on Monday, confirming an earlier Bloomberg report. With a combined 6.2 million subscribers in North America, the new venture will trail only YouTube TV.

The deal doesn’t include Hulu’s subscription video business, in which customers pay a fee to ...