Is This the Beginning of the End of Fox?
The media industry is going through an incredibly disruptive transition as streaming companies grow, cable use falls, and the movie industry tries to figure out how to maintain a semblance of profitability. In the case of The Walt Disney Company's (NYSE: DIS) recently announced acquisition of most of Twenty-First Century Fox's (NASDAQ: FOX) assets, we see two companies deploying their own strategies to adapt to industry changes.
It makes a ton of sense for Disney to collect more media assets because of its theme parks, media networks, and streaming ambition. What's striking about this deal to me is how it shrinks Fox to a shell of its former self. Becoming smaller makes sense in some ways, but it could lead to the slow death of Fox if there aren't other changes ahead for the media company.
Image source: Getty Images.
Source: Fool.com
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