International Disney Channels To Close To Make Way For Disney+
Disney+ is now the Walt Disney Company’s number 1 priority and while there has been lots of discussion about how the creation of the new streaming service will effect deals with companies like Netflix, it will also be effecting its own traditional television business.
According to The Information, Disney executives have told some TV networks in Europe and pay TV services in Latin America that it plans to end most of its licensing deals for Disney-made TV shows and movies in the next two or three years, according to two people familiar with the matter.
One of the reasons for the change is that with so many of the new shows will be “exclusive” to Disney+ and they won’t have enough content left over to fill their channels like Disney Channel, Disney Junior and Disney XD. So Disney is considering shuttering at least a couple of channels in some countries, one of the people said to The Information.
This is already starting to effect some Disney Channels in some countries, with Disney XD closing down in many countries or being turned into Marvel HQ, due to the amount of Marvel shows available. With an expectation of more Disney Channels to close down, due to poor ratings, though its expected that the main Disney Channel would still survive.
Currently it’s unclear if this will effect US Disney Channels, but the challenges those channels face is identical to those in other countries.
One of the biggest issues Disney faces with its streaming service is how so many different deals have been made in the past, for different countries, different durations, different companies, so its all very confusing and will take time for Disney to sort out, with either paying to break contracts early or waiting for them to expire, such as the current deal with Netflix.
Disney is planning on making Disney+ available globally, with Bob Iger saying last year that Disney+ “will become the destination globally for our movie library and our television library.” And Bob Iger has also said that once the Fox purchase is completed, they are looking into taking it’s other “adult” oriented streaming service, Hulu, international as well, which is expected to gain adult focused ABC shows.
As more and more people turn to streaming for their entertainment, traditional TV is changing and it does look like having multiple Disney channels isn’t going to be around for much longer.
What do you think of Disney closing some Disney Channels down?