Disney Offers First Look at Upcoming Disney+ App, Launching in November for $6.99 Per Month [Update: Will Be Available on Apple Devices]

[code-m]

How can they make a profit at $6.99? Asking for a friend who owns Disney stock.

It is a long game profit strategy, it’s not going to make anything in the next few years. The idea is to report to stockholders that it has X amount of paying subscribers and every quarter it increases. I suspect in 5 years it should break even or render a small profit. After the 5 year mark is when it will payoff. Disney does nothing for short term gains, look at their amusement parks as an example, it rendered no profit during its initial phase.

 

[Taj Armstrong]

"but there was no mention of the Apple TV."

Ouch !.. deal breaker for me. I would have got excited if it was Apple TV

It's definitely on Apple TV - there was an image where they showed all the devices and it was on there.

 

[69Mustang]

How can they make a profit at $6.99? Asking for a friend who owns Disney stock.

Easy. Really easy. They aren't paying licensing fees. They own everything soup to nuts Licensing is why every other service has been raising the price of their offerings.

 

[SilverRubicon]

“Executives also revealed Thursday that they expect Disney+ to reach 60 million to 90 million subscribers by the end of fiscal 2024. Operating losses are expected to peak between 2020 and 2022, with the streamer projected to reach profitability by fiscal 2024.”

https://www.hollywoodreporter.com/news/disney-launch-date-price-additional-details-revealed-1201341

 

[code-m]

I would gladly pay Netflix double their subscription fee without any hesitation. Their catalog of originals is amazing, and they’re constantly releasing more and more great titles.

Families have a budget, glad it does not apply to you. Disney understands families very well and has marketed their brand successfully around this premise. 50 years and their control most of he media out there, I believe their know the business well.

 

[69Mustang]

It is a long game profit strategy, it’s not going to make anything in the next few years. The idea is to report to stockholders that it has X amount of paying subscribers and every quarter it increases. I suspect in 5 years it should break even or render a small profit. After the 5 year mark is when it will payoff. Disney does nothing for short term gains, look at their amusement parks as an example, it rendered no profit during its initial phase.

I doubt it will take 5 years. In fact I'd bet they'll be turning a profit year two. Disney doesn't pay expensive licensing fees. They'll have the expense of creating new shows, but that's an expense they already bear.

 

[predation]

Damn you Disney teasing with Boba Fett - the one character Star Wars fans have been clamouring for more stories!

I don’t know how anyone will be able to keep up with all these streaming services. This is not saving any money vs. cable!

We asked for it.

 

[smaffei]

That hissing sound you hear is the air being let of Apple TV+'s tires…

 

[predation]

It is a long game profit strategy, it’s not going to make anything in the next few years. The idea is to report to stockholders that it has X amount of paying subscribers and every quarter it increases. I suspect in 5 years it should break even or render a small profit. After the 5 year mark is when it will payoff. Disney does nothing for short term gains, look at their amusement parks as an example, it rendered no profit during its initial phase.

Why they can raise their park entry fees 500% and still sell the park out

 

[smorrissey]

yeah! the Mandalorian count with my money Disney!

 

[code-m]

Easy. Really easy. They aren't paying licensing fees. They own everything soup to nuts Licensing is why every other service has been raising the price of their offerings.

Contrary to this misleading information about tv and video streaming media, it’s original content creation that costs a lot. Case in point until Netflix started creating original content the price per month was reasonable, Netflix has no choice other than to increase prices as their original content debt is rising fast. Pluto.tv is free and there is some decent content on it, if licensing was the problem Pluto would not be able to stay in business.
[doublepost=1555035195][/doublepost]

Why they can raise their park entry fees 500% and still sell the park out

Disney knows families very well, hook them when young on your content and characters and when these children become adults their visit the parks and introduce their families to he Disney world too. It’s is a generational cycle that their do best. This is their business plan, don’t expect any profit until 2023+ onwards.

 

[SilverRubicon]

I doubt it will take 5 years. In fact I'd bet they'll be turning a profit year two. Disney doesn't pay expensive licensing fees. They'll have the expense of creating new shows, but that's an expense they already bear.

Disney is stating it will be profitable in 2024.

 

[code-m]

That hissing sound you hear is the air being let of Apple TV+'s tires…

Apple needs Disney on this more than the other way around. Plus it will run on tablets and computers, I don’t think Disney is loosing sleep over Apple or its TV+ service.

 

[DaveTheRave]

Now, as for Disney going with the "+" naming convention... trying to piggyback off of Apple? (no, Apple did not invent this, I know.... but it's their current convention, so the timing is suspect).

Disney’s existing sports streaming service is named ESPN+. If anything, Apple is copying from Disney/ESPN.

 

[code-m]

Disney is stating it will be profitable in 2024.

Conservative outlook, I suspect when people purchase physical media there will be a free trial of Disney+. Once the little ones are hooked and the parents love the convenience and low cost per month, instant subscriber for a while.
[doublepost=1555035541][/doublepost]

Disney’s existing sports streaming service is named ESPN+. If anything, Apple is copying from Disney/ESPN.

This poster is just misinformed, anyone who was paying attention to Disney’s streaming service announcements since last year knew it was going to be called Disney+.

 

[Black Magic]

Families have a budget, glad it does not apply to you. Disney understands families very well and has marketed their brand successfully around this premise. 50 years and their control most of he media out there, I believe their know the business well.

Disney will raise the prices slowly like Netflix does. Netflix will push to the point folks will leave.

 

[moeym25]

nice

 

[cmaier]

I would gladly pay Netflix double their subscription fee without any hesitation. Their catalog of originals is amazing, and they’re constantly releasing more and more great titles.

Ugh. I find the content awful, especially now that all the marvel series are gone. We pretty much only use it for my kid now.

 

[HiRez]

Will we be able to watch Disney movies in 4K that we bought in HD on the iTunes Store, either in Movies or the Disney app? Will Disney make 4K available on the iTMS now that they’ll apparently be supporting it more?

 

[NArca9]

This really puts Apple in a tough spot for pricing. They don't have 1% of the content that the competition does and Disney is clearly going for the throat in the family-friendly space. Apple can't show up with a few original shows at $9.99 and expect to compete with the huge Disney catalog (for cheaper) and extremely well established Netflix.

I bet most families will hold onto Netflix and add either Disney+ or Apple TV+ since the former has the adult oriented content and the later two are for the whole family. At this point, I can't imagine why a family would pick Apple over Disney.

 

[realtuner]

Something doesn't add up to me. Can anyone confirm if Disney is actually putting up all their content? As in all the Star Wars and Marvel movies? If so, why would I subscribe for a year when I could pay for a month and then binge watch all the "expensive" content?

I think there are going to be some limits and "fine print" when it launches. I mean, why would anyone ever buy Disney movies on iTunes (or anywhere else) if they can watch them all for a measly $6.99?

I'm betting that "all content" will be available but it'll be "rotated" to try and keep subscribers locked in.

 

[NArca9]

Something doesn't add up to me. Can anyone confirm if Disney is actually putting up all their content? As in all the Star Wars and Marvel movies? If so, why would I subscribe for a year when I could pay for a month and then binge watch all the "expensive" content?

I think there are going to be some limits and "fine print" when it launches. I mean, why would anyone ever buy Disney movies on iTunes (or anywhere else) if they can watch them all for a measly $6.99?

I'm betting that "all content" will be available but it'll be "rotated" to try and keep subscribers locked in.

I don't think you understand how much content they have. Star Wars + Marvel is over 30 movies. How much free time do you have?

 

[DaveTheRave]

Something doesn't add up to me. Can anyone confirm if Disney is actually putting up all their content? As in all the Star Wars and Marvel movies? If so, why would I subscribe for a year when I could pay for a month and then binge watch all the "expensive" content?

I think there are going to be some limits and "fine print" when it launches. I mean, why would anyone ever buy Disney movies on iTunes (or anywhere else) if they can watch them all for a measly $6.99?

I'm betting that "all content" will be available but it'll be "rotated" to try and keep subscribers locked in.

Disney has said that they are ending their “Vault” program. All old Disney content will be on Disney + (except Song of the South).

 

[ipponrg]

Something doesn't add up to me. Can anyone confirm if Disney is actually putting up all their content? As in all the Star Wars and Marvel movies? If so, why would I subscribe for a year when I could pay for a month and then binge watch all the "expensive" content?

I think there are going to be some limits and "fine print" when it launches. I mean, why would anyone ever buy Disney movies on iTunes (or anywhere else) if they can watch them all for a measly $6.99?

I'm betting that "all content" will be available but it'll be "rotated" to try and keep subscribers locked in.

I am pretty sure content will not be like Netflix where they release all episodes in a season at once.

You also need to realize that Disney is very massive. It’s not just Marvel and Star Wars. Not only will they have new content, but they will also have their entire archive dating way back. And it’d be even bigger when they get Fox content as well.
[doublepost=1555036790][/doublepost]

Will we be able to watch Disney movies in 4K that we bought in HD on the iTunes Store, either in Movies or the Disney app? Will Disney make 4K available on the iTMS now that they’ll apparently be supporting it more?

This is a streaming service. Your iTunes library has nothing to do with Disney streaming service.
[doublepost=1555036980][/doublepost]Here's a list of everything Disney so far (including ABC excluding Fox). I'm probably missing some other subsidiary channels, but these 3 links below will show how much content this potentially will have.

https://en.wikipedia.org/wiki/List_of_programs_broadcast_by_American_Broadcasting_Company (ABC shows)

https://en.wikipedia.org/wiki/List_of_programs_broadcast_by_Disney_Channel (all Disney channel shows)

https://d23.com/list-of-disney-films/ (740 films so far)

 

[Attirex]

Disney+ reveal sounds like it was the antithesis of what Apple trotted out, ergo, Disney provided specifics, pricing, and no cloying celebrities on stage. Hate to say it, but this time Apple's ethereal marketing isn't doing it any favors. The entertainment biz is brutal y'all.

Anyway, Iger had me at "Mandalorian." Body, wallet, credit card ready, etc.