When Disney announced earlier this month that they would leave Netflix to create their own streaming service, it was met with excitement and backlash, but this new info may help calm some nerves. A lot of people are not thrilled that Disney has chosen to leave Netflix and they’ve even started a petition to keep it from happening. Others aren’t happy with the idea of having to pay for yet another streaming service, but it may not be as bad as they’re thinking.
There are still a lot of question marks regarding Disney leaving Netflix even though it has been confirmed their new service will start sometime in 2019. One of the biggest unknowns is if they will take Marvel Studios and Lucasfilm releases with them, but that’s all being negotiated.
One of the biggest things that fans want to know is how much will Disney’s streaming service cost? While Disney has yet to make that information known, one expert analyst said it will be priced around only $5 per month, according to Fierce Cable.
This low price may seem quite odd, but the analyst believes Disney would do this in order to get users to latch onto it at launch.
The ESPN streaming service will be something else entirely as it is scheduled to launch sometime next year. Prices for that service will be structured differently and could be included with some cable television subscriptions.
MoffettNathanson analyst Michael Nathanson states that Disney is expected to bring in revenues of $34 million to $38 million in its first year of streaming service for $5 a month. By year three, they are expected to see revenues top $230 million.
Nathanson also expects the revenues from Netflix and accelerated marketing costs could also bring about financial losses between $200 million to $425 million per year for Disney. With that being said, the petition in place to stop them from leaving Netflix may end up having some merit, as reported, by The Washington Post.
As of Tuesday night, the petition to have Disney “go back to Netflix!” has almost reached its goal of 12,000 signatures. The main argument is that streaming users do not want to have to pay double to access “the content we love.”
On another note, Tech Crunch is reporting that a third of all millennials are willing to pay for Disney’s new streaming service without any complaints. Due to the fact that they’re so used to streaming all their content, they’re more than willing to pay for another service to watch what they want.
Disney is leaving Netflix to start their own streaming service and there is nothing that can really be done about that. The petition will likely continue to grow, but the probability of it having much of an effect is very slim. If estimations of $5 per month for Disney’s streaming service end up being correct, that may do a lot to calm everyone down a bit. It’s hard to say that $60 per year for almost every bit of Disney content is something that any fan would pass up.
[Featured Image by Walt Disney Pictures/Lucasfilm/Marvel Studios]