Disney is considering launching an ad-supported tier of its Disney+ streaming service in the United States, reports The Information. The added growth could help the company's direct-to-consumer business reach profitability in 2024.
Disney would be joining the majority of entertainment companies, including WarnerMedia, Discovery, NBCUniversal and Paramount Global, that have launched ad-supported tiers of their streaming services as they seek to grow in the increasingly competitive streaming market. The moves signal how the focus of video streaming has shifted away from ad-free services, like that pioneered by Netflix more than a decade ago, to a more traditional ad-supported television model.
This wouldn't be the first move by Disney to ensure growth for its streaming service. Last year, the company forced Hulu + LiveTV subscribers into paying for Disney+ and ESPN+ subscriptions as part of a price hike.
Currently, a Disney+ subscription costs $7.99/month or $79.99/year.
Read More
Disney would be joining the majority of entertainment companies, including WarnerMedia, Discovery, NBCUniversal and Paramount Global, that have launched ad-supported tiers of their streaming services as they seek to grow in the increasingly competitive streaming market. The moves signal how the focus of video streaming has shifted away from ad-free services, like that pioneered by Netflix more than a decade ago, to a more traditional ad-supported television model.
This wouldn't be the first move by Disney to ensure growth for its streaming service. Last year, the company forced Hulu + LiveTV subscribers into paying for Disney+ and ESPN+ subscriptions as part of a price hike.
Currently, a Disney+ subscription costs $7.99/month or $79.99/year.
Read More