News Disney and Fox come to terms -- announcement soon; huge IP acquisition

[mikejs78]

$31 billion is for all of it. Including the assumption of Sky's debt ($10 billion), the Enterprise Value of Comcast's Sky offer is $41 billion.

So that number assumes that Fox/Disney sells then.

 

[Stripes]

So that number assumes that Fox/Disney sells then.

Yeppers.

 

[Twilight_Roxas]

Wouldn't Disney need the Fox movies & tv studio for the X-Men & Fantastic Four?

 

[BWV2013]

Wasn't MASH produced jointly by Fox and CBS? If so, would this make Klinger Disney's newest Princess?

 

[Sirwalterraleigh]

Wasn't MASH produced jointly by Fox and CBS? If so, would this make Klinger Disney's newest Princess?

Yes...and hotlips will replace Julie Andrews for all walt disney tribute promotional material.

 

[Stripes]

Great article on the impacts of the deal to both Comcast and Disney and lays out what many others have said, that Comcast may not make another move here:

https://seekingalpha.com/article/4184025-4-ds-disneys-deal-fox

Someone should send this to Greenfield and others whose concept of financials is lacking. Really a great article.

 

[LieutLaww]

Wouldn't Disney need the Fox movies & tv studio for the X-Men & Fantastic Four?

Disney will get the Studios and TV Studios in the deal, They have to sell off the regional Sports channels. Sky is a separate entity that delivers Satellite TV to Europe and India and also makes its own tv shows etc. Sky is attractive to both as it gives them access to especially the European TV market where neither have any real presence apart from a few channels.

 

[Stripes]

I do have a gut feeling that, if Comcast is going to make another move, they'll make it today. Just a gut feeling though, largely based on the 4th of July and wanting to give their M&A people a stress-free holiday.

Again, just a guess.

 

[seascape]

I voted this morning for the merger with both Disney and Fox. I also registered for the both meeting because I am still not sure which one I will go to. It is interesting they are both at the Hilton. I wonder if if there will be a joint presentation and then break up in to separate one. Just 24 days to go. I hope nothing changes and this gets done quickly.

 

[Stripes]

Until I saw this tweet I really didn't fully understand Greenfield's bearish attitude toward Disney:


Surprise, surprise, he's dead wrong as evidenced by:
https://www.inc.com/ryan-jenkins/top-10-most-admired-employers-by-millennials.html
https://www.levo.com/posts/this-is-...illennials-and-their-parents-want-to-work-for
...and virtually every other study of millennials' work preferences.

 

[Stripes]

Nothing really new from Faber this morning, though he did talk about it. He said he hadn't heard anything.

We did get some follow-up tweets from Gasparino though:





If Roberts wants Sky, I have a hard time believing he would want to raise Disney's Fox bid, given the UK's takeover laws.

 

[AnotherDayAnotherDollar]

Received the updated proxy vote from DIS, FOX, and FOXA.

 

[Sirwalterraleigh]

Until I saw this tweet I really didn't fully understand Greenfield's bearish attitude toward Disney:


Surprise, surprise, he's dead wrong as evidenced by:
https://www.inc.com/ryan-jenkins/top-10-most-admired-employers-by-millennials.html
https://www.levo.com/posts/this-is-...illennials-and-their-parents-want-to-work-for
...and virtually every other study of millennials' work preferences.

It doesn’t excuse his bias or hatelove...

But Disney is NOTORIOUS for underpaying it’s people. And innovation doesn’t flourish behind an IP company’s quarterlies.

There’s a bit of Fire behind that smoke.

 

[Kingtut]

Until I saw this tweet I really didn't fully understand Greenfield's bearish attitude toward Disney:


Surprise, surprise, he's dead wrong as evidenced by:
https://www.inc.com/ryan-jenkins/top-10-most-admired-employers-by-millennials.html
https://www.levo.com/posts/this-is-...illennials-and-their-parents-want-to-work-for
...and virtually every other study of millennials' work preferences.

Sorry to disappoint you but I suspect that the populations surveyed in your references did not consist of primarily MIT, Stanford, and CMU ( shameless plug for my school) tech majors. Top tech talent doesn't want to work anywhere but at a startup where you can change the world while becoming obscenely rich before you are 30. Only a few lucky people will become rich working at Disney. Seriously - these folks have a very different mindset from us mere mortals.

 

[Rodan75]

Sorry to disappoint you but I suspect that the populations surveyed in your references did not consist of primarily MIT, Stanford, and CMU ( shameless plug for my school) tech majors. Top tech talent doesn't want to work anywhere but at a startup where you can change the world while becoming obscenely rich before you are 30. Only a few lucky people will become rich working at Disney. Seriously - these folks have a very different mindset from us mere mortals.

I think that is fair. But broadly Greenfield is using a talking point that most legacy company's have been using since the dawn of Facebook and Amazon. These talent pools don't want to work at Comcast or AT&T or General Motors. Heck, GE did a whole ad campaign trying to make themselves cool to this talent pool. So for him to try and leverage that against Disney, is silly. All of the legacy companies are feeling the pain.

The truth is, the wild west of the web is mostly over and it will be consistently harder for Start Ups to break through again. Graduates will quickly learn that cool is getting a big paycheck even if it doesn't come with Zuckerberg levels of fame.

 

[Sirwalterraleigh]

Sorry to disappoint you but I suspect that the populations surveyed in your references did not consist of primarily MIT, Stanford, and CMU ( shameless plug for my school) tech majors. Top tech talent doesn't want to work anywhere but at a startup where you can change the world while becoming obscenely rich before you are 30. Only a few lucky people will become rich working at Disney. Seriously - these folks have a very different mindset from us mere mortals.

...it’s a Burgh thing, baby

 

[mikejs78]

I think that is fair. But broadly Greenfield is using a talking point that most legacy company's have been using since the dawn of Facebook and Amazon. These talent pools don't want to work at Comcast or AT&T or General Motors. Heck, GE did a whole ad campaign trying to make themselves cool to this talent pool. So for him to try and leverage that against Disney, is silly. All of the legacy companies are feeling the pain.

The truth is, the wild west of the web is mostly over and it will be consistently harder for Start Ups to break through again. Graduates will quickly learn that cool is getting a big paycheck even if it doesn't come with Zuckerberg levels of fame.

Wild west of the web, yes. Mobile, AI/ML, etc are still nascient technologies where startups are thriving.

 

[CaptainAmerica]

It doesn’t excuse his bias or hatelove...

But Disney is NOTORIOUS for underpaying it’s people. And innovation doesn’t flourish behind an IP company’s quarterlies.

There’s a bit of Fire behind that smoke.

Disney doesn't need groundbreaking tech. They don't need their streaming platform to be better than Netflix, they need it to be adequate enough to delivery their superior IP. They're not a tech company, they're a content company.

By the way, that's the transition that Google, Facebook, Twitter, and Netflix are making too. They built their platforms and now they need to populate them with content that people are willing to pay for. Sooner or later the idiots on Wall Street will figure that out and stop giving them the insane multiples they're getting.

 

[Sirwalterraleigh]

Disney doesn't need groundbreaking tech. They don't need their streaming platform to be better than Netflix, they need it to be adequate enough to delivery their superior IP. They're not a tech company, they're a content company.

By the way, that's the transition that Google, Facebook, Twitter, and Netflix are making too. They built their platforms and now they need to populate them with content that people are willing to pay for. Sooner or later the idiots on Wall Street will figure that out and stop giving them the insane multiples they're getting.

I’m not really disputing you...except about they don’t need to have at least as good of tech as Netflix...

Why are they buying fox? Because their market isn’t just dusters/Disney sycophants.

This thing won’t sell itself with just a label...for every one person in love with Disney, you can find one - maybe more - with a visceral hatred of it. For many reasons...but politics, resistance to adult content and marketing to children being high on the list.

So the tech can’t suck...or the take will suffer and they need it.

...unless you’re gonna go and buy A lot more cash grabs in Orlando Than you currently do. Because the current level just ain’t cutting it longterm.

 

[CaptainAmerica]

I’m not really disputing you...except about they don’t need to have at least as good of tech as Netflix...

Why are they buying fox? Because their market isn’t just dusters/Disney sycophants.

This thing won’t sell itself with just a label...for every one person in love with Disney, you can find one - maybe more - with a visceral hatred of it. For many reasons...but politics, resistance to adult content and marketing to children being high on the list.

So the tech can’t suck...or the take will suffer and they need it.

Of course the tech can't suck, but it doesn't need to be groundbreaking either. They can let someone else be the innovator and then ride on that tech as a service. Disney isn't buying Fox for tech, they're buying Fox for content.

...unless you’re gonna go and buy A lot more cash grabs in Orlando Than you currently do. Because the current level just ain’t cutting it longterm.

I don't buy the cash grabs. I did Not-So-Scary one time and it was the biggest waste of money ever.