The deal will create a streaming multichannel video service that is second only to YouTube in scale, while potentially allowing the Venu service to move forward.

Disney’s Hulu + Live TV and sports streaming service Fubo are combining in a deal that will also see the settlement of a lawsuit against the creation of Venu Sports.

Fubo has settled with Disney but at least one of its subscribers has not and is pursuing a separate complaint against the media giant. Cole Unger is seeking class action status for a suit in U.S. District Court in the Southern District of New York against Disney for a "multifaceted campaign to suppress competition in

"These anticompetitive tactics restrain competition from rivals to Disney's Hulu in the SLPTV market and force independent streaming services such as Fubo to charge higher prices

After Disney pulled the plug on sports-streaming service Venu last week, a Fubo subscriber filed a proposed class action suit in New York federal court on Tuesday, alleging that the media giant has violated antitrust laws as both a content supplier and a distributor.