NEW YORK (CelebrityAccess) — Just a day after a Federal Court ruling cleared the way for the multi-billion dollar Time-Warner by telecom giant AT&T, another such company, Comcast, announced a $65 billion bid to acquire parts of 21st Century Fox.
On Wednesday, Comcast announced the cash offer of $35 dollars per share for 21st Century Fox’s assets, which it says is superior to an all-stock bid posed by Disney for the same assets which was valued at $52 billion.
Comcast’s bid will likely start a bidding war for Fox’s assets, which include 20th Century Fox studios, its regional sports networks, as well as the F/X and National Geographic cable-TV channels.
The deal would also include 21st Century Fox’s 30% stake in the streaming video service Hulu, which may be the prime impetus for the offer.
A move into the streaming market is seen as increasingly vital for Comcast, which is facing a growing number of “cord-cutters” who have cast aside conventional cable television for internet-only streaming services such as Hulu and Netflix. Hulu boasts 20 million subscribers, making it the third-largest streaming service behind rivals Netflix and Amazon.
Comcast’s previous attempt to the streaming market, called “Watchable” proved to be anything but and shut down in 2017 after failing to attract viewers. Disney has also announced plans to enter the streaming market with its own branded service, which is set to launch later this year with family-oriented content and sports from its ESPN brand.
“Hulu is the crown jewel in the battle royale for the Fox assets,” Daniel Ives, chief strategy officer and head of technology research for GBH Insights told CBS News. “These assets would fit like a glove for both Disney and Comcast.”
The deal is also the latest in a move of sweeping consolidations in the media sector that include AT&T’s bid to acquire Time-Warner, and Sinclair Broadcast Group’s acquisition of Tribune Media in late 2017.