Disney+ will raise prices in the US, Hulu’s offerings will also be a bit more expensive. And what about France?
Disney+ isn’t done with price hikes. During the presentation of its third-quarter financial results, the American giant revealed that it will raise the prices of its ad-free streaming service in the United States to $11 per month, up $3 from today, starting Dec. 8. Users who wish to continue paying at the same price will need to sign up for an ad-supported offer that will be launched on the same day. In other words, an ad-supported offer won’t actually be cheaper, you’ll just have to pay more to continue enjoying the uninterrupted experience that customers already have.
Disney+ will raise prices in the US
The American giant also said it would raise the prices of Hulu’s free offering by $2 from October 10 to bring it up to $15 per month. If you accept advertising, you will be charged $8 per month from now on, up from $7 currently. Spending $10 a month will provide Disney+ and Hulu with advertising. The package, which includes Disney+ ad-free, ESPN+ ad-supported, and Hulu, increases by $1 to $15 per month, but there’s an option for $13 per month to use all three services with ads. Without any ads, this package costs $20 per month.
Hulu deals will also cost a little more
Disney did not hesitate to explain the reasons for this price increase. While the company added 14.4 million new Disney+ subscribers this quarter (total 221 million across all services), its streaming division’s operating loss fell from $293 million last year to nearly $1.1 billion. Production costs for Disney+ and Hulu are skyrocketing, and Disney is determined to get that money back.
And what about France?
In any case, these numbers contrast strongly with those of the main competitor. While Netflix is preparing its own ad offering, the platform is currently losing customers. It relies on advertising to fuel its growth, while Disney just hopes to make a profit. If Disney’s finances are tough enough for the streaming division, Disney+ is in a better position. The American giant has not yet mentioned price increases in the rest of the world. To be continued!