It appears that the Walt Disney Company will be instituting a price hike on one of its streaming services just as annual demand for the platform is set to skyrocket.
According to CNBC,
Disney is increasing the price of its sports streaming service ESPN+ to $9.99 per month, a 43% increase.
The previous price of ESPN+ had been $6.99 per month. The increase will kick in on Aug. 23. An annual subscription to ESPN+ will jump from $69.99 to $99.99.
While a monthly fee of $9.99 may not appear drastic to most readers, the large and sudden percentage increase is out of the ordinary for Disney, especially considering the fact that its last two price increases for ESPN+ were only $1 each. If Disney can retain its subscribers, this year is set to be a busy one for its sports streaming service and could generate much-needed revenue for the company. ESPN+ is set to stream live coverage of the National Football League, including the right to simulcast “Monday Night Football” at a cost of $2.6 billion per year. Disney also has exclusive rights to PGA Tour events, Grand Slam tennis matches, Formula 1 races, and National Hockey League Games.
Related: Disney World Begins Demolishing ESPN Club
It should be noted that this price change is only for a la carte ESPN+ subscriptions. Disney’s bundle package, which includes Disney+ and the ad-supported tier of Hulu, will remain $13.99 per month.
It could be speculated this move is intended to coerce sports fans into purchasing a Disney+ subscription via the bundle package. Therefore, continuing to help Disney and its CEO Bob Chapek reach their lofty goal of having 230 million to 260 million Disney+ subscribers by the end of 2024. The Walt Disney Company reported 137.7 million global Disney+ subscribers at the end of the last fiscal quarter.
We at Disney Fanatic will continue to update our readers on Disney+-related news and stories as more developments come to light.