Disney Plus will be adding a cheaper, ad-supported subscription tier sometime in “late 2022.”
Deadline reports that the new offering will join the streaming platform’s current ad-free subscription, though pricing hasn’t yet been revealed. The service with ads will also be introduced to international markets in 2023. Right now, a Disney+ subscription costs $7.99 per month—a price increase that arrived last year.
“Expanding access to Disney+ to a broader audience at a lower price point is a win for everyone—consumers, advertisers, and our storytellers,” Kareem Daniel, Chairman, Disney Media, and Entertainment Distribution said, per the outlet. “More consumers will be able to access our amazing content. Advertisers will be able to reach a wider audience, and our storytellers will be able to share their incredible work with more fans and families.”
Disney hopes to boost its current subscription numbers, which, at the end of 2021, was at 129.8 million paying customers worldwide. It hopes to have a total of 230 million to 260 million worldwide subscribers by the end of 2024.
“Since its launch, advertisers have been clamoring for the opportunity to be part of Disney+ and not just because there’s a growing demand for more streaming inventory,” said Rita Ferro, President, Advertising, Disney Media and Entertainment Distribution. “Disney+ with advertising will offer marketers the most premium environment in streaming with our most beloved brands, Disney, Pixar, Star Wars, Marvel and National Geographic.”
Consumers can either subscribe to Disney+ on its own or as The Disney Bundle, which includes Disney+, Hulu, and ESPN+. While Hulu has had multiple subscription tiers for years, other streaming platforms—like Paramount+ and HBO Max—have also introduced ad-supported tiers.
It will be interesting to see what the price will be.