Disney+ Raises Streaming Prices Amid Lingering Fallout from Kimmel Suspension
Disney+ is increasing its streaming prices once again, a year after its last bump and amidst some controversy surrounding Jimmy Kimmel’s suspension from ABC. Despite calls to cancel subscriptions, Disney is moving forward with the changes, set to take effect on October 21.
For the ad-supported tier of Disney+, prices will go up by $2 to $11.99 per month, while the ad-free option will see a $3 increase to $18.99. Annual ad-free subscriptions will jump by $30 to $189.99. Bundle prices are also on the rise, with the ad-supported Disney+ and Hulu bundle going from $10.99 to $12.99, and the Disney+, Hulu, and ESPN Select bundle with ads increasing from $16.99 to $19.99. The Premium bundle, offering ad-free Disney+ and Hulu along with ESPN Select with ads, will now cost $29.99, up from $26.99.
This marks the fourth consecutive year that Disney has raised prices on its streaming platforms, as the company aims to maintain profitability in its streaming division. Following the news, Disney’s shares remained relatively stable.
The recent debut of ESPN Unlimited, Disney’s new all-in sports app priced at $29.99 per month, has also been a part of this pricing adjustment. Despite the price hikes, a bundle deal including Disney+, Hulu, and ESPN Unlimited for the same $29.99 monthly price remains available.
Many media companies have turned to price increases to boost profitability after significant investments in streaming services. In fact, Disney is aiming for $1.3 billion in streaming operating income for its current fiscal year, prompting last October’s price hike of up to 25% on Disney+.
While Disney maintains that these price increases were planned as part of their regular business processes, the timing has raised eyebrows, coming shortly after the backlash surrounding Jimmy Kimmel’s suspension. The host had made comments about the assassination of conservative activist Charlie Kirk, leading to criticism and the temporary removal of his show from some broadcast affiliates.
Despite Disney’s announcement that Kimmel would return to air following “thoughtful conversations,” some affiliates plan to continue preempting the show in certain markets. This controversy has sparked broader criticism, with calls to cancel Disney+ and Hulu in protest. Online searches for cancelling subscriptions surged after Kimmel’s suspension.
As the streaming landscape continues to evolve, price adjustments are a common strategy for companies like Disney to balance their bottom line. While the price hikes may come at an inconvenient time for some, Disney is moving forward with its plans to enhance its streaming offerings.