Disney has set pricing and date for the U.S. launch of the version of Disney+ with ads, while also hiking the monthly price of the Disney+ tier without ads. Its also likely to raise rates for Hulu both ad-supported and ad-free versions and introduce new Disney Bundle options.
Disney+ Basic, that is the name of the program with ads, will launch Dec. 8 in the U.S. for $7.99/month. Thats the cost of the existing ad-free version of Disney+, which in those days will boost to $10.99/month, a 38% increase, and you will be referred to as Disney+ Premium.
The ad-supported version of Disney+ includes yet content that’s available in the ad-free tier, even though some titles might not run advertising, based on the company.
Disney+ Basic will launch with about four minutes of ads each hour. It will focus on 15- and 30-second spots but will expand to a complete suite of ad products as time passes, Disney Advertising Sales president Rita Ferro said at an investment conference this spring. Disney+ with ads won’t accept political or alcohol ads. The business expects that nearly all Disney+ customers will choose the cheaper, ad-supported plan as time passes.
The strategy appears targeted at mitigating Disney+ subscriber irritation on the price hike on the no-ads plan and the inevitable cancelations with the intro of Disney+ Basic at exactly the same price, albeit with ads stuck in to the mix.
Meanwhile, by Oct. 10, Disney increase the cost of Hulu with ads, from $6.99 to $7.99 monthly, as the ad-free tier will go from $12.99 to $14.99 monthly. The Disney Bundle in the U.S. (Hulu with ads, Disney+ no ads, ESPN+) will go from $13.99 to $14.99 monthly; the premium version of the bundle (Hulu no ads, Disney+ no ads, ESPN+) will stay at $19.99 monthly.
As previously announced, ESPN+ rates increase in August, going from $6.99 to $9.99 monthly.
With this new ad-supported Disney+ offering and an expanded lineup of plans across our entire streaming portfolio, we are providing greater consumer choice at a number of price points to focus on the diverse needs of our viewers and interest a straight broader audience, Kareem Daniel, chairman of Disney Media & Entertainment Distribution, said in a statement.
Disney announced its updated streaming pricing and plans in reporting results for the June 2022 quarter, which topped Wall Street estimates. The business gained 14.4 million Disney+ subs in the time, handily topping the 10 million that analysts forecast, to attain 152.1 million by July 2.
Heres the brand new pricing for Disneys direct-to-consumer streaming services by Dec. 8 (except where noted) in the U.S.:
Disney+, Hulu and ESPN+ Standalone Plans
Disney+ Basic (with ads): $7.99 monthly; no annual option
Disney + Premium (no ads): $10.99 monthly; $109.99 annually
Hulu Basic (with ads)*: $7.99 monthly; $79.99 annually
Hulu Premium (no ads)*: $14.99 monthly; no annual option
ESPN+: $9.99 monthly; $99.99 annually
Hulu price increases effective Oct. 10
ESPN+ price increases effective Aug. 23
Disney Bundle Plans
Basic (with ads): Disney+, Hulu: $9.99 monthly
Basic (with ads): Disney+, Hulu, ESPN+: $12.99 monthly
Legacy*: Disney+ (no ads), Hulu (with ads), ESPN+ (with ads): $14.99 monthly
Premium: Disney+ (no ads), Hulu (no ads), ESPN+ (with ads): $19.99 monthly
Existing subscribers only
Hulu + Live TV
Basic: Includes Hulu SVOD with ads, Disney+ with ads, ESPN+: $69.99 monthly
Legacy*: Includes Hulu SVOD with ads, Disney+ no ads, ESPN+: $74.99 monthly
Premium: Includes Hulu SVOD without ads, Disney+ no ads, ESPN+: $82.99 monthly
Existing subscribers only