World’s Largest Streaming Company: Netflix Dethroned by Disney 

It’s official! Disney has passed Netflix’s highest subscriber count and has Dethrone Netflix from the title of the world’s largest streaming company.

Disney may have an advantage over Netflix in encompassing three networks under one company and tallying all of them for their final subscriber count. Disney hosts streaming services such as Disney+, Hotstar, and ESPN+, covering everything from movies, shows, sports, and reality TV. 

The third fiscal quarter saw a tremendous rise in subscriber count for the streaming media company, bringing the total number of subscribers to 221 million, while Netflix was left behind with 220.7 million subscribers. Even though it was a close call, Disney has managed to dethrone Netflix from the position of the top streaming company.

Disney added 14.4 million subscribers from Disney+, 600 thousand from Hulu, and 500 thousand from ESPN+. Breaking Wall Street records and surpassing estimations that a quarter can add 10 million subscribers, Disney+ blew through it all with a 4.4 million bonus.

But this is not all there is! According to The Hollywood Reporter, Disney has spent over $1 billion on streaming and plans to invest even more to squeeze out as much revenue as possible and retain the number one streaming company spot.
Disney also plans to introduce an ad-based model to Disney+ for subscribers who want to maintain their budget at the same price, since the prices of the basic and premium models are rising. 

On December 8, Disney will launch its ad-based model, called Disney+ Basic, which will be set at the cost of $7.99 per month, including ads, in the US. The previous Basic model, rebranded as Premium, will exclude ads and be raised to the cost of $10.99 per month.

The media company has stated that the ads’ run time of four minutes per hour and is split into 15-30 seconds ads at regular intervals. The announcement for this new model comes at the heels of the highest subscriber count, which is great marketing even if it’s unplanned.

Netflix’s loss couldn’t come at a worse time, since the company has lost 1 million subscribers this year and had previously missed hitting subscriber targets in 2021. In 2023, Netflix also plans to introduce an ad-based model which will attract and convert viewers who have steadily complained that Netflix is too pricy and they don’t mind ads.

Will Netflix be able to retake its rank from Disney? How long will Disney retain their position at the top? Will there be more fluctuations once the new model comes out? We’ll keep you posted.

Source: HollywoodReporter