Disney+ Putting Pressure On Other Streaming Platforms
Disney+ is set to launch on November 12th and its price point of $6.99 looks to shake up the streaming service business. With a huge collection of established franchises like Marvel, National Geographic, Star Wars and Pixar, Disney+ is in a unique position to go up against the established streaming veterans such as Netflix and Amazon.
A new study by Ampere Analysis has found that Disney is “throwing down the gauntlet” in its competition with new platforms, Apple TV+, Peacock and HBO Max.
New Original exclusive content is where Disney+ is going to thrive, since its commissioned 61 original series and movies, while Apple has ordered “just” 36 new originals for Apple TV+ service.
“Disney+ is really going full in. It has the strong catalog and it was likely to sign up a lot of new subscribers without having to offer much in the way of originals. Given its dominant position, this level of investment from Disney is quite surprising.”
Said Fred Black from Ampere, who also explained another big advantage Disney+ has:
“There will be a lot of price pressure for new entrants and it will be very difficult for any player to survive if they don’t have the backing of a major studio to soak up early losses”
Disney+ won’t be the cheapest platform on the market, as Apple TV+ is priced at $4.99, but has almost no back catalog of content. HBO Max could end up being the most expensive of the streaming platforms, but we won’t know the exact details until its announcement event next month. While Peacock will offer a free version with advertising, it will also offer a paid element, with pricing set to be revealed nearer its launch in April 2020. Both HBO Max and Peacock will have the huge back catalogs of Warner Brothers and Universal content.
Disney is looking to its back catalog as inspiration for its new original content, as according to the study, 66% of the Original Disney+ series are based on existing Disney franchises, such as Star Wars, Marvel, High School Musical and more.
Netflix still has a huge advantage, with its massive install base and Amazon uses a different strategy due to its free shipping and other benefits like Twitch.
With a huge back catalog of hits and most of the recent box office smashes, Disney+, is in a unique spot to compete.
Source – The Hollywood Reporter