Walt Disney Co. is set to increase prices on several of its streaming subscriptions, with notifications going out to users as early as Wednesday. The flagship ad-free Disney+ streaming service will see a 13% increase, or $2.50, bringing its monthly cost to $21.49. This adjustment aims to align the premium Disney+ offering more closely with competitors like Netflix, which charges $26.99 a month for an ad-free service with 4K resolution and multiple device access.
In addition to Disney+, the price of an ad-free Hulu subscription will also rise by the same amount. A bundled ad-free subscription for both Disney+ and Hulu will increase by $2, to $21.99, making it just 50 cents more than subscribing to each service individually. For ad-supported options, standalone Disney+ and Hulu will increase by 50 cents to $12.49 per month, while the ad-supported Disney+ and Hulu bundle will remain unchanged at $12.99.
These price hikes are part of a broader industry trend, with entertainment giants like Netflix, Apple Inc., Comcast Corp., and Paramount Skydance Corp. also increasing streaming subscription prices to boost profitability. Disney reported a 64% increase in operating income from its entertainment division in its third quarter, driven by increased subscriptions and a double-digit profit margin in online video. The company has also made recent leadership appointments, naming Adam Smith as sole chair of its direct-to-consumer unit and Karandeep Anand as chief technology officer, with CEO Josh D'Amaro prioritizing modernizing consumer interactions. D'Amaro also stated that Disney+ will expand to include merchandise, games, and experiences starting in spring 2027.
