Disney+ getting more expensive in US despite new ad-supported tier

Disney is shaking up its portfolio of streaming services starting next month. The company announced today that it would increase the pricing for ad-free Disney+ and Hulu while also saying that it is “actively exploring” ways to crack down on password sharing, similar to what Netflix recently implemented.

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Hulu and Disney+ price increases

First and foremost, Disney announced its plans to raise the prices of ad-free Hulu and Disney+. Here’s a breakdown of the changes, which will go into effect on October 12.

But alongside those price increases, Disney also announced that it would offer a bundle of Hulu and Disney+ (both without ads) for $19.99 per month. This new bundle will launch in the United States on September 6.

Additionally, Disney announced that Hulu + Live TV packages will see a price increase of $7, with the ad-support plan rising to $76.99 and the ad-free plan rising to $89.99. ESPN+ pricing will also rise from $9.99 to $10.99 per month.

An end to password sharing

Speaking to investors during Disney’s quarterly earnings call today, CEO Bob Iger also addressed the topic of password sharing on Disney+ and Hulu. According to Iger, the company is “actively exploring ways to address account sharing,” and it hopes to implement changes starting later this year.

“We are actively exploring ways to address account sharing and the best options for paying subscribers to share their accounts with friends and family. Later this year, we will begin to update our subscriber agreements with additional terms and our sharing policies. And we will roll out tactics to drive monetization sometime in 2024.”

Iger stopped short of giving specific data on how many Disney+ accounts are being shared outside of individual households, but he said the number is “significant.” As such, the company has made its plans to block password sharing “a top priority.”

“We already have the technical capability to monitor much of this, and I’m not gonna give you a specific number except to say it’s significant. We certainly have established this as a real priority, and we actually think that there’s an opportunity here to help us grow our business.”

But while Iger said subscriber agreements and terms would be changed later this year, it could be longer until actual technical implementations to block password sharing are implemented. The Disney CEO suggested a timeline of sometime in 2024 for these changes.

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