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STREAMING WARS 
Live streaming service focussed on sports at FIRST
Fighting with $GOOG YouTube TV but backed by DISNEY 
Paid subscribers totalled 455k, an increase of 58% year over yearHere is an EASY thread
$FUBO FuboTV is a streaming television service with a focus on sports 
such as the NFL, MLB, BHL, MLS, NBA 
It was launched in 2015 as a soccer streaming service but pivoted in 2017 to an all-sports service
such as the NFL, MLB, BHL, MLS, NBA It was launched in 2015 as a soccer streaming service but pivoted in 2017 to an all-sports service
In June 2020, $FUBO sealed a deal with Disney Media Networks to bring ESPN and Walt Disney Television to the streaming service 
$FUBO doesn’t stop here In August 2020, they added news and entertainment channels such as ABC, NBC, Fox News, Discovery Channel
$FUBO doesn’t stop here
In August 2020, they added news and entertainment channels such as ABC, NBC, Fox News, Discovery Channel
FuboTV is a Virtual Multichannel Video Programming Distributor (vMVPD), meaning that it aggregates live and on-demand television 
It then delivers the content over the internet
Similar services to $FUBO include: Sling TV, ESPN+, Hulu With Live TV and YouTube TV
It then delivers the content over the internet
Similar services to $FUBO include: Sling TV, ESPN+, Hulu With Live TV and YouTube TV
So what is the deal? Well, $FUBO is changing the way consumers get access to their favourite live TV channels
Instead of signing up with one conventional cable TV providers and have installers come over to install the equipment
Instead of signing up with one conventional cable TV providers and have installers come over to install the equipment
Users just need to connect their devices to the internet and can start watching their favourite channels in seconds
FuboTV and alternatives are constantly adding channels to their services and users can even save their content in the cloud
Is this a better solution than Cable TV?
Prices are comparable to what users pay for conventional cable TV
Experience is better suited to today’s consumers as internet speed increased and consumer switch to mobile
Prices are comparable to what users pay for conventional cable TV Experience is better suited to today’s consumers as internet speed increased and consumer switch to mobile
Great! But how much does it cost? $FUBO offers several plans:
Standard plan: $59.99 a month for +100 channels
Fubo Extra: $5.99 a month for another 44 channels
Elite: $79.99 a month for 153 channels and up to 5 streams at once
Standard plan: $59.99 a month for +100 channels Fubo Extra: $5.99 a month for another 44 channels Elite: $79.99 a month for 153 channels and up to 5 streams at once
FuboTV is only about sports right?
It chose a niche-positioning in order to enter the market by pitching itself as “sports” streaming service
However, it quickly expanded and appeals to general audiences as it added news and entertainment challenges
It chose a niche-positioning in order to enter the market by pitching itself as “sports” streaming service However, it quickly expanded and appeals to general audiences as it added news and entertainment challenges
What about competition?
Despite it smaller size, $FUBO managed to grow quickly and is an alternative to YouTube TV (which benefits from $GOOG ’s funding)
“YouTube TV and fuboTV are two solid cable TV alternatives. I’ve tested these services extensively and think they both...
Despite it smaller size, $FUBO managed to grow quickly and is an alternative to YouTube TV (which benefits from $GOOG ’s funding)“YouTube TV and fuboTV are two solid cable TV alternatives. I’ve tested these services extensively and think they both...
... provide a good user experience — including live guides that are easy to navigate.” https://clark.com/streaming-tv/youtube-tv-fubo-comparison/
PCMag gives $FUBO a 4 stars rating, citing:“FuboTV is a particularly good streaming service for sports fans, but its many news and entertainment channels should appeal to general audiences, too.” https://www.pcmag.com/reviews/fubotv
$FUBO managed to break out from its “sports” niche and quickly signed deals with major channels providers
$FUBO is now recognised as a strong YouTube TV and Sling TV alternative
Surprising! A small company taking on a $GOOG giant! How is that possible? Let’s have a look at $FUBO ’s management
CEO & Co-founder: David Gandler held positions at Time Warner, Warner Bros
CEO & Co-founder: David Gandler held positions at Time Warner, Warner Bros
Chairman: Edgar Bonfman Jr. was the CEO of Warner Music Group from 2004 to 2011 and now leads a private equity firm CFO: Simone Nardi served as SVP and CFO for NBC Universal’s international channels
Until now, a solid track record for $FUBO
Smart “niche” strategy in order to enter the marker and cut down on costs
They were able to offer a “complete” product as they just needed to pay rights for sports channels
Smart “niche” strategy in order to enter the marker and cut down on costs They were able to offer a “complete” product as they just needed to pay rights for sports channels
Followed by an expansion into news and entertainment, now competing with YouTubeTV and Sling TVBut is $FUBO really popular? According to SimilarWeb:
FuboTV scored 13m website visits in Nov ’20 up 83% from 7.1m in June ’20
SlingTV scored 18m website visits in Nov ’20 up 36% from 12.9m in June ’20 Philo scored 5.3m website visits in Nov ’20 up 6% from 5m in June ’20At the same, time interest for FuboTV is increasing year over year
$FUBO is the laggard of the pack according to WhatToWatch
Hulu with Live TV - 4.1m subscribers as of Oct. 3, 2020
YouTube TV - 3m subscribers as of Oct. 29, 2020
Sling TV - 2.5 m subscribers as of September 30, 2020
Philo - 750k subscribers as of August 2020
Hulu with Live TV - 4.1m subscribers as of Oct. 3, 2020
YouTube TV - 3m subscribers as of Oct. 29, 2020
Sling TV - 2.5 m subscribers as of September 30, 2020
Philo - 750k subscribers as of August 2020
AT&T TV Now - 683k subscribers as of Sept. 30, 2020
Fubo TV - 455k subscribers as of Sept. 30, 2020
On $FUBO , WhatToWatch has the following to say
“There's no doubt that it's the smallest of the bunch at 455,000 paid subscribers as of Sept. 30, 2020”
Fubo TV - 455k subscribers as of Sept. 30, 2020
On $FUBO , WhatToWatch has the following to say
“There's no doubt that it's the smallest of the bunch at 455,000 paid subscribers as of Sept. 30, 2020”
“But there's also no doubt that it's growing by leaps and bounds, up 58 percent year over year, and seeing 59 percent growth from Q2”
$FUBO is still the smallest one but has room to grow and steal market share from AT&T and Philo
$FUBO is still the smallest one but has room to grow and steal market share from AT&T and Philo
So, what about the market 
The OTT market is growing by 14% a year over the 2020 - 2025 period
Mordor Intelligence reports that the market will reach $ 195B by 2025 up from $ 85B in 2019
The OTT market is growing by 14% a year over the 2020 - 2025 period Mordor Intelligence reports that the market will reach $ 195B by 2025 up from $ 85B in 2019
“Increasing adoption can be attributed to the narrow genre choices, packaging flexibility, wider device availability, internet penetration, and overall lower costs.”
“Furthermore, the rising demand for customized content led to significant adoption rates of OTT devices.”
“Furthermore, the rising demand for customized content led to significant adoption rates of OTT devices.”
The OTT market is growing FAST! What about the global cable television networks market?
Market is set to grow at 2.5% over the 2020 - 2025 period, going from $ 245B in 2019 to $ 286B by 2025
Market is set to grow at 2.5% over the 2020 - 2025 period, going from $ 245B in 2019 to $ 286B by 2025
The cable TV market is slowing down to 2.5% growth! WSJ goes even further
“Large cable and satellite companies lost about 5.5 million traditional pay-TV customers last year, a roughly 8% decline, according to public filings.” https://www.wsj.com/articles/cord-cutting-accelerates-raising-pressure-on-cable-providers-11582149209
“Large cable and satellite companies lost about 5.5 million traditional pay-TV customers last year, a roughly 8% decline, according to public filings.” https://www.wsj.com/articles/cord-cutting-accelerates-raising-pressure-on-cable-providers-11582149209
That’s good for the OTT market! But how is the “sports” niche doing
TV rights for tier-1 sports are going through steep price increases over the last years
TV rights for tier-1 sports are going through steep price increases over the last years
“Sports have been leveraged by pay-TV to attract premium audiences at scale and, as a result, the value of major sports broadcast rights have appreciated significantly.” - MTM Analysis
Furthermore, the proliferation of sport OTT services helped drive up competition for these TV rights
Needless to say, sports is a pillar in the TV world and drives masses of audiences to pay premium prices in order to watch live contentBut the landscape is made of very different OTT services, going from large aggregators to extra-niche services
In this crowded landscape, the so-called “Super-Aggregators” are the ones saving the day
They provide a all-in-one bundle that offers all the content the viewer requires: sports, news, entertainment
They provide a all-in-one bundle that offers all the content the viewer requires: sports, news, entertainment
What do we have right now?
$FUBO entered the market with a “sports” focus as this attracts premium customers
They quickly added news and entertainment channels and can now rival with YouTubeTV
$FUBO entered the market with a “sports” focus as this attracts premium customers They quickly added news and entertainment channels and can now rival with YouTubeTV
Aggregators and super-aggregators such as $FUBO now play a key role in offering a single solution to consumers overwhelmed with choice
OTT market is growing at 14% per year while traditional cable TV is being displaced by these new internet alternatives
Is there something else we want to add? Well do you know who owns Hulu?
The Walt Disney Company
And you know who bought 6.6m shares of FaceBank?
The Walt Disney Company
The Walt Disney CompanyAnd you know who bought 6.6m shares of FaceBank?
The Walt Disney Company
“Disney bought convertible preferred stock worth 6.63 million shares of FaceBank Group's common stock, which would represent a nearly 16% stake in the company.“ https://www.nasdaq.com/articles/disney-acquires-a-substantial-stake-in-fubotv-owner-facebank-group-2020-08-11
Ok great! But what does that mean? Well here it is
“Disney (NYSE: DIS) and FaceBank Group (OTC: FUBO) revealed in a regulatory filing late Monday that Disney had purchased a sizable stake in FaceBank, the parent company of live-TV streaming platform FuboTV”
“Disney (NYSE: DIS) and FaceBank Group (OTC: FUBO) revealed in a regulatory filing late Monday that Disney had purchased a sizable stake in FaceBank, the parent company of live-TV streaming platform FuboTV”
We can play this game even further!
Who owns ESPN?
The Walt Disney Company for 80%
Who owns ESPN?
The Walt Disney Company for 80%
So, we are speaking about super-aggregators having the possibility to gather all of this content into one OTT solution
No coincidence, $FUBO added all the Disney channels last June
No coincidence, $FUBO added all the Disney channels last June
Is there something else we need to review?
$FUBO recently took over Balto Sports in order to enter the online sports betting market
It will start offering free-to-play games during live event and then build on paying games
$FUBO recently took over Balto Sports in order to enter the online sports betting market It will start offering free-to-play games during live event and then build on paying games
“The acquisition of Balto Sports will enable us to build a first class, free to play experience that brings consumers the best games around live sports.”
“From there, we see a natural progression to layer on real money wagering in regulated markets complementing FuboTV’s live streaming video for a highly engaging user experience within our platform.” https://www.sportspromedia.com/news/fubotv-balto-sports-deal-online-sports-betting
Financial Check Sales reached $ 61m in Q3 ’20 but were fully offset by subscriber related expenses
FuboTV raised $ 183m from its IPO in order to boost its working capital Pre-IPO, current assets stood at $ 58m while current liabilities stood at $ 247m
Paid subscribers totalled 455k, an increase of 58% year over year
ARPU increased by 14% and now stood at $ 67.7 Total content hours streamed by FuboTV users (paid and free trial) in the Q increased 83% YoY to 133m hours
THE BOTTOM LINE $FUBO is growing fast despite fierce competition from established players with deep pockets The market is moving towards OTaggregatorsrs and $FUBO now offers a service that can competes with the likes of YouTubeTV and Hulu
Backed by Disney, the owner of Hulu and ESPN, we can expect $FUBO to keep its Disney channels rights The foray into sports betting might provide the cash flow $FUBO needs in order to expand its TV offering
The market is still highly competitive, evolving fast and TV rights have seen their prices considerably increase $FUBO might be stuck in the middle. Right between niche players and the giants of the industry as consumers favour breadth and depth of offering
Disclaimer - This is not investment advice in any form and investors are responsible for conducting their own research before investing.
Sources
✑ Investor presentation
✑ Company website
✑ WSJ
✑ SimilarWeb
✑ WhatToWatch
✑ MTM
✑ Convergent Media
Sources
✑ Investor presentation
✑ Company website
✑ WSJ
✑ SimilarWeb
✑ WhatToWatch
✑ MTM
✑ Convergent Media
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