>> Walt Disney's deal to buy movie, TV and international businesses from Rupert Murdoch's 21st Century Fox will end more than a half a century of expansion by the 86-year-old media mogul and will make Disney a powerhouse with reach across the globe. Reuters media correspondent, Jessica Toonkel.>> This has huge impact on every media company.
Because you have Disney, which is the world's largest entertainment company all of a sudden now having international breadth through the acquisition of these Fox assets. So a lot of people are focusing on what's going in the US with the film studios. They're buying a film studio. They're buying a TV studio and they're buying Sports, but internationally they're also buying at least this 39% stake in Sky.
But our sources tell us that Disney will be buying all of Sky ultimately. So that gives them distribution in Europe. It gives them over the top online streaming and also Star India. India is the fastest growing market for media today and Star is the fastest growing TV network by far.
And they have an online streaming service called Hotstar. Netflix is starting to get into India. I believe Amazon is starting to get into India. This gives Disney a huge edge over those competitors right now.>> Under the deal, Disney will gain access to 46 million subscribers in three major markets.
And Toonkel says the move could drive rivals into big deals as well.>> If you're a smaller content company right now, you have to be saying do I need more scale? I mean, if you weren't asking that question before, you have to be asking what do I need to do?
Because a Disney Fox combination has huge implications. And also this is Fox, which Rupert Murdoch spent 60 years building his empire, no one thought he would ever sale. This is him saying, this is a good time to sell, so that's a wake up call for the industry.>> As for Fox, it will hold on to Fox News, it's TV network and sports channels.
And sources tell Reuters that the remaining assets will likely be folded into Murdoch's News Corp by 2019.