Twenty-First Century Fox And Walt Disney Said To Be In Talks

07 November, 2017, 01:38 | Author: Angelina Schmidt
  • Officer Bob Iger holds a news conference at Shanghai Disney Resort as part of the three-day Grand Opening events in Shanghai China

The company could not own two broadcast networks and would therefore not buy the Fox broadcast network.

The deal would involve Fox's movie studio (which includes the film rights to the X-Men, Deadpool, and the Fantastic Four) and TV production business, which would leave Rupert Murdoch's media empire focused primarily on news and sports, according to CNBC's David Faber.

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For the moment, no deal to sell a portion of the Fox company to Disney has taken place.

The deal would give Disney control of another movie studio and significant TV production assets, and would give it more exposure to worldwide markets. Both companies aren't in talks but could resume them, according to the report. Fox management reportedly believes that the most important near-term goal is scale within media and that acquisitions will not provide a path toward gaining the desired scale.

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Disney wouldn't even be allowed to own two networks, as they already own ABC. That £11.7bn ($15.41bn) deal has run afoul of regulators' concerns about media plurality in the United Kingdom and the Murdochs' commitment to broadcasting standards. A Disney spokesperson did not immediately respond to a request for comment. With the company about to launch their own streaming service, that would be a huge boost.

In addition to the movie studio, TV production and global assets such as Star and B Sky B, Disney would take entertainment network FX and National Geographic, the report added. Yes, the Fox broadcast network would still have plenty of non-sports content, but if their TV studio was included in this sale, they'd have to pick up their scripted programming elsewhere instead of in-house.

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Ever since the Marvel Cinematic Universe was established after Disney bought Marvel Comics, fans have been hoping that the movie rights from properties like X-Men and Fantastic Four would eventually revert back to Marvel Studios. So it would definitely be interesting to see how a more-focused-on sports Fox would do, and how investors would react. As a result, the deal is now effectively dead, though it should be noted that in Hollywood, deals do have a tendency to be resurrected after being officially announced as dead; the current deal between Sony and Marvel to share Spider-Man went through that very news cycle.

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