Fubo injunction against Venu is a 'speed bump'

FuboTV (FUBO) has won a delay in the introduction of Venu, the sports streaming service between Fox (FOX, FOXA), Warner Bros. Discovery (WBD), and Disney (DIS), which was set to launch next week. Activate Consulting founder and CEO Michael Wolf joins Asking for a Trend to discuss the news.

Wolf explains that Venu's expectation is "not a wall, it's a speed bump." He continues, "You almost have to step back and look at what's Fubo versus what they're going to launch," and calls Fubo a "virtual cable company" where customers can watch all networks for between $80 and $100 a month. On the other hand, Venu is about $42 per month and only offers sports.

"We can understand this from the Fubo perspective. They think it's going to hurt them. But for the most part, this is something different. And also, we should expect that there's going to be a lot more bundling across these services. So already, Verizon is selling a package of Netflix (NFLX) and Max. I mean, we're going to see more of this bundling and it's inevitable. This is what consumers are going to want," Wolf concludes.

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This post was written by Melanie Riehl

Transcripción del vídeo

As the cable bundle deteriorates and more customers opt for streaming services.

The ad dollars are following suit.

Legacy media companies like Warner Brothers, Discovery and Paramount Global have all seen double digit declines in linear ad revenue.

Here to talk more about the state of ad spending is Michael Wolf founder and of activate consulting Michael J Wolf.

We should say differentiate from any other Michael Wolf out there.

Um Michael um thank you for being here.

First of all, I want to talk more broadly about the ad market, but first, I want to talk about some headlines that we just got in the last hour, which is that FO TV had won an injunction or at least a delay in the introduction of the venue sports streaming service, which is a cooper operation between Fox Warner Brothers Discovery and Disney.

They were supposed to launch next week.

So now it looks like at least for right now, they're not gonna be launching Fubo shares up a lot.

The other stocks weren't hurt that much.

What do you make of this news?

I think the expectation is for the for this, this venue service.

I think the expectation is this, they're not, it's not a wall, it's, it's a speed bump.

And so you almost have to stack back and look at what's Fubo versus what they're gonna launch.

So Fubo is really what you would call a virtual cable company.

It, it started off as just around sports, but I can now go there and, and, and I sit similar to like Hulu plus I can watch all the cable networks and it costs somewhere between 80 $100 per month.

They launch the three companies launch venue or they're about to launch venue.

It's around $42 a month.

So it's a much better deal for the consumer.

It's only gonna have sports.

And so there's yes, we can understand this from the Fubo perspective.

They think it's going to hurt them.

But for the most part, this is something different and also we should expect that there's gonna be a lot more bundling across these services.

So already Verizon is selling a package of, of Netflix and, and Max, I mean, we're gonna see more of this bundling and it's inevitable, this is what consumers are gonna want.