Topline
A cheaper, ad-supported subscription tier of Disney+ will launch on December 8, the company announced Wednesday, a move that is also expected to come to Netflix and the newly announced HBO Max and Discovery+ combined product.
In this photo illustration, the Disney + logo is displayed on the screen of a TV on December 26, … [+]
Key Facts
The new offering will cost $7.99 a month, and the ad-free version will cost $10.99 a month.
The current version of Disney+, which does not feature ads, costs $7.99.
New pricing offerings and ad tiers are also coming to Disney-owned streaming platforms Hulu—which has long offered a cheaper, ad-supported tier—and ESPN+.
Disney+ reported 152.1 million paid subscribers Wednesday, up 14.4 million from April, while ESPN+ reported 22.8 million and Hulu reported 46.2 million.
Key Background
Streaming services are fighting to keep viewers’ subscriptions amid increased competition. After Netflix lost subscribers for the first time in a decade earlier this year, the company announced plans to launch a cheaper tier featuring ads in 2023. Last week, Warner Bros. Discovery—which was formed in April after Discovery merged with former AT&T subsidiary WarnerMedia—said its two streaming platforms, HBO Max and Discovery+, will be merged into one service in summer 2023, and it will include an ad-supported tier.
Further Reading
HBO Max And Discovery+ Will Combine Into One Streaming Service (Forbes)
Discovery+ And HBO Max Swap Content As Warner Bros. Discovery Reportedly Plans To Restructure (Forbes)
CNN+ Will Shut Down After Only One Month Of Service (Forbes)
Streaming Viewers Feel Overwhelmed By Options, Nielsen Survey Suggests (Forbes)
Netflix Shares Jump Over 6% After It Reports Smaller Subscriber Loss Than Forecast (Forbes)
Netflix Loses Subscribers For The First Time In Ten Years, Shares Plunge 35% (Forbes)
Source: https://www.forbes.com/sites/marisadellatto/2022/08/10/disney-launching-cheaper-ad-supported-tier-in-december/