Why Disney wants to sell its part in this channel to Univision, where both companies are partners since its founding in 2012?
It turns out that Fusion is a Pay TV channel for the generation of American millennials of Latin descent who speak English. According to The Wall Street Journal, the original idea was to give ABC News, channel of the ABC network that controls Disney, “access to the Latino population,” while Univision would have access to an audience of younger demographic profile”.
The truth is that the losses reach $ 17.8 million in the first nine months of 2015 and has more than 64 million in accumulated losses since its inception. (2012)
Univision took charge of the programming and Disney distribution and advertising sales, but the scheme did not work and the programming was replaced by a totally different oriented millennials of all kinds, while the distribution did not exceed 40 million households, the total of the close to 100 million total making up the US market. The figures reveal that the book value of Fusion currently would be about 26 million dollars.
Now, take a deep breath, because the truth is that Fusion is not the only headache that has Univision: El Rey (The King,) another of its channels for Latinos in second and third generation, leads summed losses by $ 118 million since its founding in 2013. And to top the network has suffered severe audience loss in the last three years losing its reign that had for many years against new offers.