Disney doesn’t plan to turn a profit until 2024.
As per Disney’s Q4 earnings report, Disney Plus attracted 10 million subscribers on its first day and had 26.5 million subscribers over Q4. Contrastingly, Disney-owned Hulu has 30.4 million users and has been in the market for 12 years.
20% of Disney Plus’ subscribers came through its co-marketing with Verizon and 50% of users subscribed directly to Disney Plus. Disney Plus is one of Disney’s three direct-to-consumer services, the other two are ESPN Plus and Hulu. Hulu’s paid SVOD subscribers went from 21.1 million to 27.2 million a year before.
Disney plans to launch Disney Plus internationally to be followed by Hulu’s international expansion in 2021. However, Disney is facing losses of an estimated $900 million in operating losses in Q2.
[3 minute read]