Disney+ is Increasing Subscription Prices — But There’s a Catch for Commercial Viewers

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Not so enchanting

Disney+ is set to raise its subscription fees, but viewers willing to endure commercials can maintain the current rate. The streaming platform is facing significant operational losses, prompting this change. As inflation impacts the beloved home of characters like Mickey Mouse and Moana, subscribers will feel the pinch in their wallets or see changes in their viewing options. Starting December 8 in the U.S., the monthly subscription price will surge by 38%, increasing from $7.99 to $10.99. The silver lining? A new ad-supported tier will be available at the old price of $7.99.

Disney+ CEO, Alex Turner, announced this ad-supported option during the company’s recent earnings call, declaring it a win for both consumers and advertisers. “Since its inception, advertisers have shown great interest in being part of Disney+,” said marketing head Laura Smith. “The ad-supported version will provide advertisers with a premium streaming environment alongside our iconic brands, including Disney, Pixar, Star Wars, Marvel, and National Geographic.”

However, it remains uncertain just how many toy commercials your children will have to endure before they can indulge in their favorite Star Wars episodes. These price hikes won’t be limited to Disney+; other Disney streaming services will also see increases. Hulu’s ad-free subscription will rise by $2 monthly, from $12.99 to $14.99, effective October 10. Hulu’s ad-supported tier will increase by $1, from $6.99 to $7.99, while ESPN+ will jump from $6.99 to $9.99 at the end of August.

If you’re looking for a workaround, consider the ad-supported bundle that includes Disney+, Hulu, and ESPN+ for $13.99. This option is ideal for those already subscribing to two services, allowing you to save money, reminiscent of traditional cable packages. The price for the ad-free bundle remains unchanged at $19.99.

Despite rising operational costs, Disney+ continues to thrive in subscriber growth, boasting 152.1 million subscribers last quarter—outpacing expectations. Nonetheless, the company has indicated that it plans to operate at a loss for Disney+ until 2024, after which they expect to achieve profitability with a larger subscriber base.

In the end, the business side may not matter as much as ensuring kids can repeatedly watch their favorites, like Gravity Falls, while you manage a Zoom call in peace. For more insights on home insemination, check out this post on our other blog. If you’re interested in learning about fertility options, consider visiting Make a Mom for expert advice on your couples fertility journey.

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In summary, Disney+ is raising its prices but provides an ad-supported option to keep costs down. Other Disney streaming services will also see price hikes. While this may be a blow to subscribers, the platform continues to attract a growing audience, with plans to eventually turn a profit.

Keyphrase: Disney+ price increase

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