Key facts
- Disney is exploring the creation of a free streaming service for consumers.
- CEO Josh D'Amaro confirmed the exploration during the company's earnings call.
- The potential free offering aims to increase customer reach, boost advertising revenue, and drive Disney+ subscriber growth.
- Disney is considering making some content from Disney+ available for free.
- The company has "nothing specific to announce today" but is actively considering the move.
Disney is actively exploring the possibility of launching a free streaming service, according to CEO Josh D'Amaro. During the company's recent earnings call, D'Amaro confirmed that Disney is "exploring a free product for consumers" that could help achieve several strategic goals efficiently.
The potential move into free streaming is driven by three primary benefits, D'Amaro explained. Firstly, it would expand Disney's reach by catering to more price-sensitive customers. Secondly, it would increase advertising inventory, thereby growing advertising revenue. Lastly, it is intended to drive "top-of-funnel" subscriber growth for its paid Disney+ service.