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Disney Will Price Streaming Service At $5 Per Month, Analyst Says (fiercecable.com)
Earlier this month, Disney announced it would end its distribution deal with Netflix and launch its own streaming service in 2019. Now, according to MoffettNathanson analyst Michael Nathanson, we have learned that Disney's new streaming service will be priced around $5 per month in order to drive wider adoption. FierceCable reports: Nathanson said that the new Disney streaming service and the upcoming ESPN streaming service need a clear distinction. The ESPN service will likely test different prices as it prepares ESPN to be ready to go fully over-the-top, according to the report, but the Disney service is about building asset value instead of taking licensing money from SVOD deals. At $5 per month in ARPU, Nathanson sees revenues from the Disney streaming service ranging from $34 million to $38 million in the first year and more than $230 million by year three. But with the loss of Netflix licensing revenues and accelerated marketing costs for launching the new service, Nathanson predicted Disney's losses will increase by about $200 million to $425 million per year. If Disney's new streaming service does end up costing around $5 per month, could you justify paying for it?
Yeah, okay. With HBO wanting 15 bones, Netflix wanting 10 bones for HD. Hulu wanting 12 bones for ad-free...
You're telling me Disney is going to ask for 5$? Maybe for an intro rate that changes after a year. Even crunchyroll wants 7$.
When the only place you can watch Disney Movies, Star Wars, and all of the Marvel movies is the disney sub you better fucking believe they're gonna charge more than 5$ a month. Plus there's all the ESPN shit they own, and anything that is ABC.
I didn't go to brandeis or yale like the analyst claiming it'll be 5$, but i'm not retarded.
This splintering of streaming services is really stupid.
There is no way I am dealing with this. Team up with NetFlix, or go home. I am not buying subscriptions for every content provider, it's just stupid.
I don't even mind if you wanna force NetFlix to collect your $5/mo to access your content, that's ok. But no to multiple stream providers, I got enough accounts all over the web as it is now.