The deal will create a streaming multichannel video service that is second only to YouTube in scale, while potentially allowing the Venu service to move forward.

Fubo will be combined with Hulu's live TV service and offer a new streaming package with ABC and ESPN channels.

According to a press release, Fubo and Hulu with Live TV will continue to be offered separately, but new subscription packages will be available after the deal closes. Customers will continue to use the Fubo app to watch Fubo programming, and Hulu's live TV subscribers will retain access to the Disney bundle and stream content via the Hulu app.

Cord cutters who have migrated to Hulu + Live TV received big news this week, according to Deadline. Disney announced it purchased the live event streaming platform Fubo. The sports streaming service will merge with the streaming cable alternative to serve a combined 6.

In a surprising deal announced on Monday, Disney is set to combine its Hulu Live TV business with Fubo, the live TV streaming service known for its extensive sports coverage. Under the terms of the deal, Disney will own about 70% of Fubo, which will continue to be available to viewers as a separate offering.

Both Hulu Live TV and Fubo are streaming services that mimic the traditional cable TV bundle, offering linear TV networks.

Disney will merge its Hulu + Live TV virtual MVPD with competitor Fubo, expanding its sports-focused distribution while settling a suit over skinny bundle Venu.

Hulu+ Live TV and Fubo will merge their internet TV businesses, Disney announced Monday. Disney, which owns Hulu, will be the majority owner of the new Fubo.

Walt Disney Co said on Monday it would merge its Hulu + Live TV business with smaller rival FuboTV, removing a significant hurdle to the launch of its sports streaming venture with Fox Corp and Warner Bros Discovery.