Disney+ has revealed that it will launch the ad-supported tier of its service in the U.S. at the current price point of its ad-free service – $7.99 per month. Upon launch of the ad-supported tier, the company will then raise the price of its ad-free service to $10.99 per month (with an annual subscription costing customers $109.99.)
Disney also revealed a slate of subscription plans for the Disney Bundle, which includes Hulu and ESPN+. Customers opting for the ad-supported Disney+ and Hulu bundle, will pay $9.99 per month; the inclusion of the ad-supported ESPN+ service into the bundle raises the price to $13.99. For existing customers, the ad-free bundle of Disney+, Hulu and ESPN+ services, will cost $14.99 per month, while new customers will pay $19.99.
Kareem Daniel, Chairman, Disney Media & Entertainment Distribution, said: “With our new ad-supported Disney+ offering and an expanded lineup of plans across our entire streaming portfolio, we will be providing greater consumer choice at a variety of price points to cater to the diverse needs of our viewers and appeal to an even broader audience.
“Disney+, Hulu, and ESPN+ feature unparalleled content and viewing experiences and offer the best value in streaming today, with over 100,000 movie titles, TV episodes, original shows, sports and live events collectively.”
Independent research boutique MoffetNathanson predicts that, in 2025, 70% of Disney+’s forecast 53 million U.S. subscribers will be on an ad-supported tier.