Disney+ and Hulu content combined into one streaming app

In a serious transfer by Disney, the corporate introduced on Wednesday that US clients are getting a brand new app that mixes Disney+ and Hulu content material.

The corporate additionally introduced that it’s going to enhance the value of its Disney+ ad-free tier later within the 12 months.

Throughout Disney’s quarterly earnings name, CEO Bob Iger introduced that the brand new streaming possibility will launch later this 12 months. Nevertheless, the corporate additionally plans to maintain Disney+, Hulu and ESPN+ as standalone platforms.

The information comes after Disney+ misplaced 4 million subscribers within the second quarter of 2023. Hulu gained 200,000 subscribers.

“Whereas we proceed to supply Disney plus Hulu and ESPN plus as standalone choices, that is [direct-to-consumer] Choices that can present subscribers with entry to extra highly effective and streamlined content material whereas offering higher alternatives for advertisers will end in higher viewers engagement and in the end result in a extra unified streaming expertise,” Iger mentioned in the course of the earnings name.

Many people have seen this announcement coming since Chapek, former Disney CEO, hinted on the plans in September 2022.

“If you wish to change from Hulu to ESPN+ and Disney+ proper now, it’s essential to change from one app to a different. “We might have much less friction sooner or later,” Chapek mentioned. Variation final 12 months.

This appears to assist the information that Disney will purchase Comcast’s stake in Hulu. Disney is anticipated to purchase Comcast’s stake in Hulu by 2024. At the moment, Comcast owns 33% and Disney 66%.

The combination resulted in Paramount+’s merger with Showtime and Warner Bros. It follows different strikes made by opponents, equivalent to Discovery’s announcement of Max, the brand new streaming service that mixes HBO Max and Discovery+ on one platform.

Subscribers in choose international locations exterior the US have already got the Hulu content material included with Disney+.

When the writer launched its ad-supported plan in December, the price of its premium tier went from $7.99 to $10.99 per 30 days. Disney+ will obtain one other value enhance for its ad-free subscription. Quickly, subscribers must pay much more to get ad-free content material.

“The pricing modifications we applied have confirmed profitable and we plan to set a better value for our ad-free tier later this 12 months to higher mirror the worth of our content material choices,” Iger added. “Wanting ahead, we’ll proceed to optimize our pricing mannequin for the premium add-on free tier to extend subscriber income and scale back loss to reward loyalty and drive subscriber development…”