Disney CEO, Bob Iger, is making attempts to look ahead. This will mean changes not only to the type of shows put out by the company, but even the way in which people watch them.
Netflix has been attempting to crack down on the whole idea of password sharing. It’s something that hurts their finances, and, much like Netflix, it’s leaked into other streaming platforms. Now Disney+ is looking to crack down on password sharing.
“We are actively exploring ways to address account sharing and the best options for paying subscribers to share their accounts with friends and family,” Iger said on a quarterly earnings call, Variety reports. “Later this year, we will begin to update our subscriber agreements with additional terms on our sharing policies, and we will roll out tactics to drive monetization sometime in 2024.”
On top of these shifts, there will also come price hikes to current plans, encompassing Disney+, Hulu, and ESPN. Disney+ Premium will go up to $13.99/month, Hulu to $17.99/month for its ad-free tier, and ESPN to $10.99/month.
Within a 3 month period, Disney+ gained only 800,000 subscriptions, seeing a 1% increase to its numbers, but lost out on 24% of their subscribers in the US and Canada.
As far as actual material goes, Iger has plans for that, including some with ESPN. At Sun Valley, Iger told CNBC that the concept of linear television isn’t at the core of what’s needed and is looking to partner with ESPN, Deadline reports.
While linear television is still a big part of Disney, Iger noted that “the trends being fueled by cord cutting are unmistakable. And, as I have stated before, we are thinking expansively and considering a variety of strategic options.”
We need to keep in mind the need for content to fuel our DTC businesses, notably Hulu. So anything that would be done would be with an eye to the content to fuel our growth business, and that is streaming.”
With ESPN, the interest of multiple entities has been piqued, after there was a call put out for consultations to help with the brand, hoping to join forces for marketing, distribution, among others.
“I think it’s safe to assume as we ultimately turn this into a streaming business, that we believe that adding more content under economical circumstances might be a wise thing.”
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