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Price Hike Costs Disney+ More Than 1 Million Subscribers

Disney Plus loses subscribers Q4
Credit: Disney/Flickr/Canva

When The Walt Disney Company launched its very own streaming service — Disney+ — in November 2019, it was touted as the ultimate streaming platform for Disney fans. Not only could subscribers watch some of their favorite Disney movies and television shows, but Disney was also dedicating a lot of time and money to creating new and original content.

disney plus marvel studios secret invasion content walt disney company disney's content quality lower quality ali selim bob iger

Credit: Disney

Related: Fans Furious After Disney+ Enacts Controversial Policy Change

One of the great things about Disney+ when it first launched was its affordability. Subscribers would pay just $6.99 per month and would have access to everything the site had to offer. During the COVID-19 pandemic, Disney did launch Premier Access, in which subscribers would have to pay $19.99 if they wanted to watch a brand-new release, but the monthly and yearly prices remained low.

Cruella

Credit: Disney

Things have changed a lot in four years, and Disney+ has seen a drastic price increase. The ad-supported tier of Disney+ now costs $7.99 per month. But subscribers who want to enjoy their favorite movies and shows without ads have to pay $13.99 per month.

In October 2023, Disney announced that the ad-free tier of Disney+ would go from $10.99 per month to $13.99 per month, a nearly 30% increase.

the mandalorian

Credit: Disney

And now, it looks like Disney is seeing the cost of their massive price hike.

On February 7, Disney released its earnings for the first quarter of the 2024 fiscal year. In that report, it revealed that it had lost a whopping 1.3 MILLION subscribers after the price hike went into effect. However, Disney remains optimistic and still plans to add between five and six million subscribers to its platform by the end of the current quarter, which ends in March.

Loki on Disney Plus season one

Credit: Marvel Studios

In just four years, Disney+ cost The Walt Disney Company nearly $11 billion. When he returned as CEO after the firing of Bob Chapek, Disney CEO Bob Iger announced that he would be taking a more critical approach to Disney+.

Since then, Disney+ has canceled a number of original series — including Doogie Kamealoha MD, The Mysterious Benedict Society, and National Treasure: Edge of History. Disney also shelved two series that had been filmed, but not yet aired — Nautilus and The Spiderwick Chronicles.

Disney Plus Nautilus

Credit: Disney

By focusing on Disney+, Iger had managed to cut the streamer’s losses to just $300 million last quarter. That is a massive drop from the losses that Disney+ was experiencing before Iger retook the reins.

While he was CEO, Bob Chapek said that the company expected to have Disney+ profitable by 2024. He is currently facing multiple lawsuits because of those statements. Bob Iger has remained quiet on when he thinks Disney+ will see a profit.

Do you think Disney+ will continue to lose subscribers because of the price? Let us know in the comments!

About Krysten Swensen

A born and bred New England girl living the Disney life in Southern California. I love to read, to watch The Golden Girls, and love everything to do with Disney and Universal. I also love to share daily doses of Disney on my Disney Instagram @BrazzleDazzleDisney!

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