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How Will Disney’s Video Streaming Service Unfold?


Mar. 5 2018, Updated 9:01 a.m. ET

Disney launching a video streaming service

Of the two direct-to-consumer services announced by the Walt Disney Company (DIS), it plans to roll out its Disney-branded streaming service in the United States in 2019. The service will focus exclusively on Disney’s content.

According to Disney, this SVOD (subscription video on demand) service will be provided exclusively for the home, and it will stream movies from Disney and Pixar starting in 2019. Movies such as Toy Story 4, the Frozen sequel, and The Lion King will be included.

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Highlights of Disney’s app

Disney’s SVOD service will give Disney subscribers access to its vast exclusive content library. Disney also expects to continue to invest in original content, including movies and television content, to enhance the platform. The company’s recent deal with 21st Century Fox (FOXA) will also support its offering of more content to subscribers.

However, the launch of its Disney-branded video streaming service in 2019 signals that it will terminate its content distribution agreement with streaming service provider Netflix (NFLX) in 2019. As a result, Disney movies released from 2019 onward won’t be streamed on Netflix.

Disney’s investment in video streaming

Besides Disney’s branded video streaming service, the company has also announced the launch of its ESPN sports streaming service. The company plans to start its ESPN video streaming service in mid-2018.

Disney’s two video streaming services indicate that the company is seeking new ways to monetize franchises such as Cars across its businesses, from theme parks to films. The company’s launch of SVOD services indicates that it wants to strengthen its brands—and monetize them effectively—in the shifting media landscape.


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