Disney+ lost 1.3 million subscribers in the final quarter of 2023 following a recent price hike, the company confirmed in its latest quarterly earnings release.
In the previous quarter ended September 30th, Disney reported 112.6 million Disney+ Core members, which includes those in the U.S., Canada and many international markets. Now, however, it says it has 111.3 million.(Disney+ Core doesn’t include any of the company’s foreign ‘Hotstar’ plans or any U.S. bundles containing Hulu.
Notably, this shedding of subscribers came after the company introduced price hikes in various markets. In the U.S., the cost of Disney+ went up 27 percent in October, and the following month, Canadians got their own price hike. As of November, the base 4K-supported Disney+ membership has been renamed to Premium and the cost has risen from $11.99/month or $119.99/year to $14.99/month or $149.99/year. (Those who were already subscribed to annual memberships saw the new price take effect later on.)
This means that the new ‘Standard’ membership, which costs $11.99/month or $119.99/year, is capped at 1080p resolution. Disney+ Premium also offers support for up to four consecutive streams and Dolby Atmos.
It should be noted that Disney also began cracking down on password sharing in Canada in November, which may have contributed to further churn. Conversely, Disney also introduced a $7.99/month ad-enabled plan in Canada, although it’s unclear exactly how it has been faring for the streamer.
Despite the drop in subscribers, Disney managed to reduce its streaming business’ losses by $300 million USD (about $404 million CAD) in the last quarter.
As part of its quarterly report, Disney made several announcements, including a major billion-dollar investment in Epic Games to create a new Fortnite universe, Taylor Swift: The Eras Tour concert film coming to Disney+, the second season of the Vancouver-shot Percy Jackson & The Olympians and a sequel to Moana coming to theatres this November.
Image credit: Marvel Studios