Walt Disney said on Tuesday it will raise prices for its flagship Disney+ streaming service in the United States next month, as the entertainment giant pushes to bolster profits from its digital platforms.
Starting Oct. 21, the ad-supported Disney+ plan will increase by $2 US to $11.99 US per month, while the ad-free premium tier will rise $3 US to $18.99 US a month. Annual premium subscriptions will jump $30 US to $189.99 US.
Bundled packages combining Disney+ with Hulu and ESPN+ will also see price hikes, according to the company’s website.
The price increase also appears to apply to Canadians. An email sent to a Disney+ subscriber and reviewed by CBC News shows that the cost of a premium subscription will jump from $119.99 to $159.99 on Oct. 28, though it’s unclear if there are other Canadian price increases.
CBC News has reached out to Disney+ for details regarding price increases in Canada but has yet to receive a reply.
Disney+ launched in November 2019 and has been gradually raising its prices since then as part of a broader strategy to stem losses and turn streaming into a growth engine. In the email notifying subscribers of the increase, Disney+ said the price jump would allow the company to bring users more original shows as well as quality movies and TV.
It is the fourth consecutive year Disney has raised its subscription prices, though the company’s streaming business achieved profitability for the first time last year.
The price hike comes at tumultuous time for Disney, as it faces public backlash and accusations of muzzling free speech after late night host Jimmy Kimmel was pulled from airwaves last week.
Protests were staged outside of Disney’s headquarters in California last week, and the company’s decision sparked calls for a boycott of the Disney+ and Hulu (also owned by Disney) streaming services — gaining momentum with the help of some big names.
Jimmy Kimmel returned to late-night television on Tuesday, defending political satire against ‘bullying’ by the Trump administration, six days after his on-air remarks about the murder of conservative activist Charlie Kirk led Disney to suspend his show.
Kimmel has since been reinstated and his show, Jimmy Kimmel Live!, returned to TV Tuesday night. In his opening monologue, Kimmel addressed free speech rights and sought to clarify his comments about Republicans’ reactions to the shooting death of right-wing activist Charlie Kirk which got him pulled in the first place.
The host also joked that Disney had asked him to deliver a message to the audience, asking them to resume their Disney+ and Hulu subscriptions now that he was back on air.
