Disney+ is changing things up on the streaming platform and it’s probably going to annoy a lot of people. Following several other streaming platforms, Disney+ is looking back at old TV models and will use ads to make more money – and help the platform be more affordable for some. Yes, ads are coming and here’s what you need to know.
According to Hypebeast, Disney+ has confirmed its launching ad-supported tiers in the U.S. and it’s happening this year. We first heard about the possibility of an ad-supported tier for Disney+ earlier in March and the timeframe given at the time said it would come before the end of the year.
Now, Disney CEO Bob Chapek confirmed that ad-supported tier is coming before the year is up and will be launching internationally in 2023. Chapek said that adding in advertisements is going to be a good thing for the company and consumers.
“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,” Disney’s advertising president Rita Ferro said. “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.”
Details on the pricing tiers and how or if those will change wasn’t released at the announcement. However, Alex Zalben, the managing editor for Decider, said Chapek explained that it’s a good time right now to move towards an ad tier saying that there’s already software running on ESPN+ and Hulu, both owned by Disney. “This is something well greased, if you will,” Chapek shared.
Zalben also had some insight on the pricing tiers the new ad option will have, though it’s only a guess. He explained that Disney didn’t talk much about what the price points will be but there was another reference to Hulu.
“They still won’t say anything about price point but once again call out Hulu as something they are looking closely at for the Disney+ ad tier,” Zalben tweeted. “For comparison: Hulu w/ads, $6.99/month Hulu w/o ads, $12.99/month Disney+ (currently), $7.99/month.”
As parents, we know how annoying ads can be. Not only because they interrupt what we’re watching but our kids are going to beg us for everything they see pop up while we’re trying to convince them to take a nap while watching Encanto. Of course, the benefit to an ad-tier on Disney+ is that it will, hopefully, make the streaming platform more affordable for more families.