Disney extending its technological capabilities
The Walt Disney Company (DIS) believes in extending its technological capabilities across its business segments. Disney indicated during its fiscal 2016 earnings call that it’s investing significantly at its Parks & Resorts business in technology to improve visitors’ experience.
Last year, Disney introduced its MagicBands at Disney World. MagicBands, part of the company’s MyMagic+ program, are radio frequency–equipped wristbands that help guests gain FastPass access to various theme park attractions, make purchases, and open their hotel room doors. MagicBands have driven increased attendance and guest spending at Disney’s theme parks.
Until last year, almost half the guests at Disney’s theme parks used the MagicBand.
Disney’s investment in BAMTech
The company is also improving its merchandise website, DisneyStore.com, using better technology and aiming to provide a better e-commerce experience for users. Disney also indicated during its fiscal 2016 earnings call that its investment in BAMTech is also a part of these tech improvements.
In August, Disney acquired a minority stake of 33% in BAMTech, a video streaming company formed by Major League Baseball or MLB. Disney plans to launch a direct-to-consumer service for ESPN through its investment in BAMTech. Disney hasn’t indicated whether it will launch the service internationally, and it didn’t discuss pricing.
Disney’s ESPN will also be part of AT&T-DirecTV’s (T) OTT (over-the-top) service, priced at $35 per month.