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Disney's New Streaming Service Will Cost "Substantially" Less Than Netflix

11 November, 2017, 01:28 | Author: Lydia Fleming
  • Star Wars live action TV show will launch on Disney streaming service

Disney is also planning to create original films, TV shows, short-form content and more for the service. Now, the saga from "a galaxy far, far away" will be taking over television as well, when Disney launches a new live-action Star Wars series alongside another new Marvel superhero show. Marvel's New Warrior could be one of the many series to come to the Disney streaming service.

Disney doesn't plan on selling ads for the streaming service, but Iger commented he wouldn't rule out sponsorships.

A live-action Star Wars series will no doubt be the focus, while series based on the 2001 Pixar hit Monsters, Inc, and the Disney Channel's High School Musical will also be highly anticipated.

Mr. Iger also revealed that an ESPN digital offering scheduled for next year will debut in the spring and be called ESPN Plus.

Many saw this as the House of Mouse looking to bolster its on-demand library ahead of the SVOD launch, which Iger considers to be the only available revenue stream Disney is not properly exploiting yet.

Disney's drop in theatrical distribution revenues was primarily driven by the under-performance of Cars 3 compared to Finding Dory in the prior-year quarter.

As most of you are aware, Netflix now costs anywhere between $7.99 and $13.99 a month to stream an array of studio content including the service's original series and films. But the limited information provided on the call makes it seem like customers may still need a cable subscription to use the service. And higher costs for sports programming cut into media networks' revenue.

The service will standalone from Disney's own exclusive streaming service plans, which will see all Disney, Marvel, Lucasfilm and Pixel movies brought in house.

The Walt Disney Company has reported that Q3 operating income for its media networks segment dropped 12 per cent to $1.5 billion (€1.29bn) as multiple factors impacted earnings.

Overall, Disney's studio revenue fell 21% to $1.43 billion, because Cars 3 couldn't match 2016's Finding Dory. Performance improved at Disneyland in California, Disneyland Paris and Shanghai Disney Resort, the company said, as well at its cruise ships and vacation club.



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