TIMES.KY

Cayman Islands, Caribbeanand International News
Thursday, Mar 28, 2024

Disney overtakes Netflix in battle for subscribers

Disney overtakes Netflix in battle for subscribers

Disney will launch a new ad-supported streaming service in the US in December, as it overtakes Netflix in the race for paid subscribers.
The firm reported 221.1 million subscribers across its three streaming platforms at the start of July.

That put it just ahead of Netflix, which has been losing customers.

But Disney warned that its loss of streaming rights for cricket in India would reduce its subscriber growth compared to previous forecasts.

The firm, which also owns adult television streaming platform Hulu and the sports-focused ESPN+, said demand for its Disney+ product remained strong.

Pandemic lockdowns provided a boost to streaming services like Disney, but the easing of Covid restrictions doesn't seem to be preventing it attracting new customers.

The company added 14.4 million Disney+ subscribers in the quarter, many of them outside of the US - far more than analysts had expected.

Later this year it will launch a new ad-funded service, which will still be charged at the current subscription rate of $7.99. The charge for the ad-free service will rise to $10.99 per month.

The firm plans to launch its ad-funded service outside the US next year.

Executives said they do not expect the rise in prices to put off customers over the long term. The firm is also seeing strong interest from companies hoping to advertise on the new service, they said.

"We are in a position of strength with record upfront advertising commitment," chief executive Bob Chapek told analysts in a conference call to discuss the firm's financial results.

Disney's subscriber gains have come at a hefty cost, with its streaming business losing $1.1bn in the quarter.

Executives said they expect losses to peak this year, In the meantime, a strong rebound in attendance at its theme parks since the worst of the pandemic has provided the firm with a large financial cushion.

Total revenues in the April-June period jumped 26% from last year, pushing profits to $1.5bn.

Shares in the company jumped more than 6% in after-hours trade after the firm shared its results.

Paolo Pescatore, analyst at PP Foresight, called it a "pivotal moment in the streaming wars" saying Disney had more room to grow than arch-rival Netflix.

Netflix lost nearly one million accounts in the most recent quarter, putting its subscriber total at 220.67 million.

The results "firmly underline my belief that Disney is at a different phase of growth to Netflix", said Mr Pescatore. "There are still millions of users to acquire as it continues to expand into new markets and rolls out new blockbuster shows".
Newsletter

Related Articles

TIMES.KY
0:00
0:00
Close
Paper straws found to contain long-lasting and potentially toxic chemicals - study
FTX's Bankman-Fried headed for jail after judge revokes bail
Blackrock gets half a trillion dollar deal to rebuild Ukraine
Israel: Unprecedented Civil Disobedience Looms as IDF Reservists Protest Judiciary Reform
America's First New Nuclear Reactor in Nearly Seven Years Begins Operations
Southeast Asia moves closer to economic unity with new regional payments system
Today Hunter Biden’s best friend and business associate, Devon Archer, testified that Joe Biden met in Georgetown with Russian Moscow Mayor's Wife Yelena Baturina who later paid Hunter Biden $3.5 million in so called “consulting fees”
Singapore Carries Out First Execution of a Woman in Two Decades Amid Capital Punishment Debate
Google testing journalism AI. We are doing it already 2 years, and without Google biased propoganda and manipulated censorship
Unlike illegal imigrants coming by boats - US Citizens Will Need Visa To Travel To Europe in 2024
Musk announces Twitter name and logo change to X.com
The politician and the journalist lost control and started fighting on live broadcast.
The future of sports
Unveiling the Black Hole: The Mysterious Fate of EU's Aid to Ukraine
Farewell to a Music Titan: Tony Bennett, Renowned Jazz and Pop Vocalist, Passes Away at 96
Alarming Behavior Among Florida's Sharks Raises Concerns Over Possible Cocaine Exposure
Transgender Exclusion in Miss Italy Stirs Controversy Amidst Changing Global Beauty Pageant Landscape
Joe Biden admitted, in his own words, that he delivered what he promised in exchange for the $10 million bribe he received from the Ukraine Oil Company.
TikTok Takes On Spotify And Apple, Launches Own Music Service
Global Trend: Using Anti-Fake News Laws as Censorship Tools - A Deep Dive into Tunisia's Scenario
Arresting Putin During South African Visit Would Equate to War Declaration, Asserts President Ramaphosa
Hacktivist Collective Anonymous Launches 'Project Disclosure' to Unearth Information on UFOs and ETIs
Typo sends millions of US military emails to Russian ally Mali
Server Arrested For Theft After Refusing To Pay A Table's $100 Restaurant Bill When They Dined & Dashed
The Changing Face of Europe: How Mass Migration is Reshaping the Political Landscape
China Urges EU to Clarify Strategic Partnership Amid Trade Tensions
Europe is boiling: Extreme Weather Conditions Prevail Across the Continent
The Last Pour: Anchor Brewing, America's Pioneer Craft Brewer, Closes After 127 Years
Democracy not: EU's Digital Commissioner Considers Shutting Down Social Media Platforms Amid Social Unrest
Sarah Silverman and Renowned Authors Lodge Copyright Infringement Case Against OpenAI and Meta
Italian Court's Controversial Ruling on Sexual Harassment Ignites Uproar
Why Do Tech Executives Support Kennedy Jr.?
The New York Times Announces Closure of its Sports Section in Favor of The Athletic
BBC Anchor Huw Edwards Hospitalized Amid Child Sex Abuse Allegations, Family Confirms
Florida Attorney General requests Meta CEO's testimony on company's platforms' alleged facilitation of illicit activities
The Distorted Mirror of actual approval ratings: Examining the True Threat to Democracy Beyond the Persona of Putin
40,000 child slaves in Congo are forced to work in cobalt mines so we can drive electric cars.
BBC Personalities Rebuke Accusations Amidst Scandal Involving Teen Exploitation
A Swift Disappointment: Why Is Taylor Swift Bypassing Canada on Her Global Tour?
Historic Moment: Edgars Rinkevics, EU's First Openly Gay Head of State, Takes Office as Latvia's President
Bye bye democracy, human rights, freedom: French Cops Can Now Secretly Activate Phone Cameras, Microphones And GPS To Spy On Citizens
The Poor Man With Money, Mark Zuckerberg, Unveils Twitter Replica with Heavy-Handed Censorship: A New Low in Innovation?
Unilever Plummets in a $2.5 Billion Free Fall, to begin with: A Reckoning for Misuse of Corporate Power Against National Interest
Beyond the Blame Game: The Need for Nuanced Perspectives on America's Complex Reality
Twitter Targets Meta: A Tangle of Trade Secrets and Copycat Culture
The Double-Edged Sword of AI: AI is linked to layoffs in industry that created it
US Sanctions on China's Chip Industry Backfire, Prompting Self-Inflicted Blowback
Meta Copy Twitter with New App, Threads
The New French Revolution
BlackRock Bitcoin ETF Application Refiled, Naming Coinbase as ‘Surveillance-Sharing’ Partner
×