Disney+ Shakes Up Streaming Landscape with New Tiers, Cracks Down on Password Sharing

A New Wave of Entertainment Options

Disney, one of the largest entertainment giants globally, has announced the launch of a new, more affordable streaming option with advertisements in the UK. This action comes as profits continue to slide, compelling Disney to innovate and adjust their pricing strategies.

Disney’s Move: Tackling Challenges

Facing a range of challenges such as disappointing film performance and plummeting advertising sales, Disney is taking bold steps to revitalize its business model. The introduction of new streaming tiers and the enforcement against password sharing are central to its recovery efforts.

Global Expansion: A Seamless Transition

Already available in the US, the ad-supported plan will be introduced to parts of Europe and Canada. Pricing adjustments and newly defined service tiers underline Disney’s aggressive efforts to dominate the streaming market worldwide.

New Tiers: A Breakdown

Three new subscription levels are being unveiled by Disney in the UK:

Standard with ads: £4.99 per month – 1080p video, two-device support.

Standard: £7.99 per month – Ad-free, offline video downloads.

Premium: £10.99 per month – 4k video, downloads, four-device support.

Current UK subscribers will notice a £3 per month price increase if they wish to maintain the same features.

Competition: Following Netflix’s Footsteps

Disney is not the first to introduce an ad-supported service. Last year, Netflix, the market leader, took similar measures as subscriber growth began to falter. Disney now seeks to enhance its presence in this competitive space.

Performance Metrics: Mixed Results

Despite the growth of 4% in the revenue year-on-year and cutting streaming losses in half, the company faced a loss of $460m (£361m) compared to a $1.4bn profit the previous year. Disney’s core service grew 1%, while other offerings like ESPN and Hulu remained stable.

Disappointment and Hope: Recent Film Performance

Some recent films like the new live action Little Mermaid and Guardians of the Galaxy Vol 3 underperformed. However, CEO Bob Iger remains confident, emphasizing the long-term growth trajectory of the company.


What are Disney’s new streaming plans in the UK?

Disney is introducing three new tiers with varying prices and features, including an ad-supported option.

Why is Disney taking action against password sharing?

To protect revenue and maintain control over account usage, similar to actions taken by Netflix.

How has Disney’s performance been recently?

Disney faces challenges including a sharp drop in ad sales and lacklustre film performance, but also shows growth in certain areas like streaming.

What are some key stats from Disney’s recent business activities?

Disney’s revenue grew by 4% YoY; Subscriptions to Disney+ grew 1% to 105.7 million; Losses of $460m compared to a $1.4bn profit last year.

Is Disney’s new strategy similar to any competitors?

Yes, Netflix introduced an ad-supported service last year, and Disney’s move follows in a similar direction.

Table of Key Stats:

Metric Value
Revenue Growth (YoY) 4%
Loss $460m (£361m)
Disney+ Subscription Growth 1% (105.7 million)
Price for Standard with ads £4.99 per month
Price for Premium £10.99 per month

Conclusion: An Exciting New Chapter

Disney’s new moves mark an exciting new chapter in the ongoing evolution of the streaming landscape. With fresh pricing strategies and a firm stance against password sharing, Disney looks poised to redefine its position in the market. Whether these changes will result in long-term success remains a story still unfolding.


Alexander focuses on breaking news stories and ensuring we offer timely reporting on some of the latest stories released through market wires. He has previously spent over 5 years as a trader in us stock market and is now semi-retired. Now he works for investingbizz.com specializing in quicker moving active shares with a short term view on investment opportunities and trends. He covers financial sector news.

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