Disney Plus adds nearly 8 million new subscribers as Netflix struggles

Disney added 7.9 million new subscribers to its Disney Plus streaming service in the first three months of 2022, the company announced Wednesday in its second-quarter earnings report. This brings the global total to about 87.6 million, excluding the 50.1 million who subscribed to Disney Plus Hotstar internationally. In the US and Canada alone, Disney Plus now has 7.1 million more subscribers than a year ago to 44.4 million.

The company also said the number of subscribers across all of its streaming products, including Hulu and ESPN Plus, has grown to more than 205 million, up from the 196.4 million reported in January.

That’s better than Netflix’s recent news. Last month, the streaming company reported that it had lost 200,000 subscribers compared with the previous quarter, the first drop in more than a decade. It’s also growing faster than HBO and HBO Max, which reported 3 million new subscribers in the last quarter (out of a total of about 77 million, HBO is still well behind Disney). It’s also worth noting that Netflix still has about 222 million subscribers.

Of course, all of these companies are doing better than CNN Plus, which launched and folded within weeks.

Disney also reported that Disney Plus subscribers are making more money than before, at least in the U.S. Average monthly revenue per paying user used to be $6.01 and now is $6.32. Disney said it was thanks to “increased retail prices and a decline in wholesale subscribers.”

Still, Disney Plus is actually losing company money at a greater rate than before. Disney said that was due to higher production, advertising and technology costs. Those costs seem unlikely to come down, and raising prices like Netflix has done could hamper its subscriber growth. Add it all up and it’s clear why Disney is considering creating an ad-supported tier soon.

One final interesting note came at the top of Disney’s earnings. The company noted that its revenue grew even as it gave up $1 billion to early terminate customers’ licensing deals for movie and TV content in order to use the content on its own streaming service.The report didn’t specify which Disney customers the deal was made with, but the company is clearly willing to take a huge hit to get something to Disney Plus. type and hollywood reporter Speculation that this might have something to do with Marvel shows on Netflix — before the sudden move to Disney Plus in March.

Disney did not immediately respond edgeRequirements for transaction details.

technology.

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