NEWS: Disney+ Reveals Loss of 11.7 Million Subscribers

Disney CEO Bob Iger has previously shared that his “number one priority” at the company is to improve streaming and Disney+.

Since Disney+ first came out, we’ve witnessed multiple changes like new content being added and removed, price increases, and the introduction of an ad-supported tier. And now, we have an update on just how Disney+ is doing.

The Walt Disney Company held its third-quarter earnings call on August 9th, and we learned a bit more about the company’s current financial status and more — including Disney+.

In the report, Disney noted that the number of Disney+ CORE subscribers as of July 1st, 2023 was 105.7 million, this includes domestic subscribers (U.S. and Canada) and international subscribers (excluding Disney+ Hotstar).

©Disney

At the end of the previous quarter (which ended April 1st, 2023), Disney+ had 104.9 million subscribers, which means that subscriber numbers have increased ever so slightly for Disney+ since then.

But, when we look at domestic subscribers on its own, the current number is 46 million subscribers vs. 46.3 million subscribers reported in Q2. So it looks like there has been a slight DROP there.

Although domestic subscribers dropped in the last quarter, Disney+ Core still saw an increase thanks to international subscribers. But if you add Disney+ Hotstar subscribers, it brings the total to 146.1 million subscribers. Disney+ Hotstar subscribers were 40.4 million this quarter, compared to 52.9 million on April 1st, 2023.

That’s actually quite the drop compared to April 1st, 2023 because back in April the total number of Disney+ subscribers (including Hotstar) was 157.8 million. That means there was a drop of 11.7 million this quarter — primarily from a drop in subscribers at Disney+ Hotstar.

On a good note for the Company, the average monthly revenue per paid subscriber was up for domestic and international. The Disney+ domestic average monthly revenue per paid subscriber increased from $7.14 to $7.31 due to higher per-subscriber advertising revenue.

Iger noted that around 40% of Disney+ subscribers are choosing an ad-supported product.

Internationally, Disney+ (excluding Disney+ Hotstar) had an increase in average monthly revenue per subscriber from $5.93 to $6.01 due to an increase in average retail pricing, as well as a favorable foreign exchange impact.

©Disney

In terms of overall financial resorts for the direct-to-consumer division, the division reported greater revenues in this quarter compared to the prior-year quarter. And it looks like operating losses at direct-to-consumer have decreased by just over 50% compared to the prior-year quarter.

There are more changes on the horizon for Disney+, too. Iger previously announced that Disney will soon offer a “one-app experience” that will incorporate Hulu content under the Disney+ app. With this app, you’ll be able to access both Hulu and Disney+ content in one place.

©Hulu

We’ll continue to keep an eye on Disney+ and more news from The Walt Disney Company, so stay tuned to AllEars for the latest. You can also catch up on recent news at the links below!