Disney Plus reveals plan to address password sharing, like Netflix

Aug 10, 2023, 10:48 AM UTC
3 mins read
Disney Plus reveals plan to address password sharing, like Netflix
(Image credit: Disney)

We may receive a portion of sales if you purchase a product through a link in this article at no cost to you, though all opinions are our own. For more information, please read our ethics statement. Please note that pricing and availability are subject to change.

Disney Plus will soon join the ranks of companies reevaluating their policies on password sharing. During a recent earnings call, CEO Bob Iger revealed that Disney is proactively exploring avenues to address the issue of account sharing, signaling potential changes on the horizon.

Bob Iger’s revelation has ignited discussions about the dynamics of password sharing and its implications for the entertainment industry. While Netflix has already taken the step of imposing extra fees for sharing accounts with non-household members, Disney’s potential move carries significant weight due to the vast appeal of its content across generations. Iger’s announcement not only reflects the growing concern over account abuse but also highlights Disney’s dedication to preserving the integrity of its services.

The specifics of Disney’s approach remain shrouded in anticipation, with Iger hinting at forthcoming updates to subscriber agreements and sharing policies. These changes are expected to materialize later this year, while additional monetization tactics are slated for a 2024 rollout. Iger’s comments have inevitably sparked curiosity about the extent of password sharing across Disney’s platforms. While he refrained from divulging precise numbers, he acknowledged the magnitude of the issue and emphasized the company’s technical capabilities to monitor user sign-ins.

Calendar 2024 is set to witness a pivotal juncture in our endeavors,” Iger remarked, acknowledging the complexity of the undertaking. As Disney navigates the path toward curbing password sharing, it underscores its commitment to nurturing a sustainable and thriving business ecosystem. The initiative, though challenging, presents an opportunity to not only bolster revenues but also enhance the overall streaming experience for genuine subscribers.

Amidst this strategic shift, Disney has also unveiled an enticing new offering – a premium ad-free bundle comprising Disney Plus and Hulu, slated for launch on September 6th in the United States. The bundle’s introduction will be accompanied by revised subscription rates for individual services, with Disney Plus and Hulu pricing set to increase on October 12th. The ad-free tier of Disney Plus will ascend to $13.99 per month, while Hulu’s ad-free plan will bear a monthly cost of $17.99. Meanwhile, the ad-supported options for both platforms will remain unchanged.

Related / Disney Plus and Hulu subscriptions are getting pricier

In scrutinizing Disney’s recent performance, a nuanced narrative emerges. While Disney Plus experienced a marginal decline in subscribers in the US and Canada, its India-based Hotstar service witnessed a substantial dip, losing over 12 million subscribers. This downturn can be attributed to the loss of streaming rights for the Indian Premier League (IPL), marking a testament to the profound impact of content acquisition on subscriber retention.

As Disney’s streaming portfolio charts a dynamic trajectory, CEO Bob Iger’s strategic vision comes into focus. Iger’s blueprint emphasizes prudent fiscal management by trimming expenditures on Marvel and Star Wars productions. Additionally, the contemplation of potentially divesting non-core assets such as ABC, FX, and National Geographic underlines Disney’s commitment to strategic realignment.

Related / Disney replaces Bob Chapek with former CEO Bob Iger

Evidencing his steadfast dedication, Iger extended his tenure at Disney until at least 2026, reinforcing his commitment to steering the company’s evolution. His tenure has already witnessed transformative actions, including organizational restructuring and content curation. These steps underscore his conviction that the synergy between film studios, theme parks, and streaming will fuel Disney’s growth, cementing its position as an entertainment powerhouse.

Notify of
Inline Feedbacks
View all comments
Would love your thoughts, please comment.x