Disney buying much of Murdoch’s Fox in $52.4-B all-stock deal

NEW YORK (AP) – Disney is buying a large part of Fox, including its movie and television studios, for about $52.4 billion, as the home of Mickey Mouse tries to meet competition from technology companies in the entertainment business.

Disney's all-stock deal for the Murdoch family's 21st Century Fox gives it the studios that produce the Avatar movies, “The Simpsons'' and “Modern Family.'' Murdoch will form a new company to keep the US television networks, including Fox News Channel, Fox Business Network and Fox Broadcasting. “The Simpsons'' will continue to air on Murdoch's Fox stations.

The deal also brings Marvel characters such as X-Men and The Avengers under one roof Disney's.

In owning these properties, Disney will be in a better position to compete with the likes of Netflix when it launches ESPNand Disney-branded streaming services in the coming years.

That Rupert Murdoch and his sons were willing to sell off much of the business that has been built up over decades came as a shock to the entertainment industry.

Murdoch, who built a global media and entertainment empire out of an inheritance from his father in Australia, said what remains of his family's business will be able to focus on American news and sports. During a call with investors Thursday, Murdoch and his sons described the move as a return to the company's lean and aggressive roots.

Murdoch's new company will get national rights to Major League Baseball, the NFL, NASCAR and college sports through the Fox TV network and cable networks FS1, FS2 and Big Ten Network. Disney is getting Fox's regional sports networks, including the Yes Network showing the New York Yankees.

Disney also gets some cable and international TV businesses from Fox.