Disney+ to launch cheaper ad-supported tier later this year
source link: https://www.cnbc.com/2022/03/04/disney-to-launch-cheaper-ad-supported-tier-later-this-year.html
Go to the source link to view the article. You can view the picture content, updated content and better typesetting reading experience. If the link is broken, please click the button below to view the snapshot at that time.
Disney+ to launch cheaper ad-supported tier later this year
- Disney announced a new ad-supported tier for its Disney+ streaming service on Friday.
- Disney did not provide a launch date or price for the new tier, but said it would come later this year.
- Adding an advertising-support tier will allow Disney to boost average revenue per user — a metric that currently trails most rivals.
Disney announced on Friday a new ad-supported tier for its Disney+ streaming service that will launch in the U.S. later this year.
Disney did not provide a launch date or price for the new tier. The new ad-supported tier will expand internationally in 2023.
The company said in a press release that the new offering would be “a building block” in achieving its goal of reaching 230 million to 260 million Disney+ subscribers by 2024.
Adding an advertising-support tier will allow Disney to boost average revenue per user — a metric that currently trails most rivals. Comcast Chief Executive Officer Brian Roberts said last quarter NBCUniversal’s Peacock had ARPU of nearly $10 per month per user, driven largely by advertising. The average revenue per user per month for Disney+ in the U.S. and Canada was $6.68 last quarter.
WarnerMedia’s HBO Max, Paramount Global’s Paramount+ and Discovery’s Discovery+ are among the streaming services that already offer advertising-supported streaming options.
Hulu, majority owned by Disney, also already offers an ad-supported product for $6.99 per month, compared with its ad-free service, priced at $12.99 per month. Disney is streamlining backend technology to enable selling advertising on all of its streaming products, according to a person familiar with the matter.
Disclosure: Comcast is the owner of CNBC parent company NBCUniversal.
Recommend
About Joyk
Aggregate valuable and interesting links.
Joyk means Joy of geeK