The Walt Disney Company DIS has announced a noteworthy 27% increase in its ad-free Disney+ subscription cost.
What Happened: Starting Oct. 12, the ad-free subscription plan for Disney+ will significantly surge its monthly cost, escalating from the current $10.99 to $13.99 per month. In contrast, the ad-supported version of Disney+ will retain its current price point of $7.99 per month.
Disney intends to introduce ad-supported Disney+ subscription options in Canada and select European markets starting Nov. 1.
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Disney is also adjusting its bundle options.
The bundle comprising Disney+ (ad-free), Hulu (ad-free), and ESPN+ (with ads) will witness an increase from $19.99 per month to $24.99 per month. Similarly, the bundle with commercials for all three services will rise by $2 to $14.99 monthly.
Hulu Price Adjustments: The changes extend to Disney-owned Hulu as well. The subscription plan for Hulu without ads will increase by 20% to $17.99 monthly. The ad-supported Hulu plan will maintain its price of $7.99 per month.
Hulu + Live TV subscribers will also observe adjustments. The ad-supported package will be priced at $76.99 per month, up from $69.99. The commercial-free Hulu + Live TV subscription will rise to $89.99 monthly from $82.99.
New "Premium Duo" Offering: To cater to subscribers seeking Disney+ and Hulu without commercials, Disney is introducing a "premium duo" package from Sept. 6.
Priced at $19.99 per month, this bundle offers a $12 monthly saving compared to individual subscriptions. The bundle with ads will retain its $9.99 per month cost.
Why It's Important: The revised pricing brings Disney+ closer to the rates of other streaming giants.
Netflix Inc.'s NFLX standard plan without commercials costs $15.49 monthly.
Warner Bros. Discovery Inc.'s WBD Max, the rebranded version of HBO Max, subscription is priced at $15.99 monthly.
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