Last month, Netflix Inc. shared its revenue details where it revealed that it had lost a lot of subscribers in the first quarter of the year. Netflix has forecasted that the losses will continue through the month of June.
Walt Disney’s online TV streaming business will be scrutinised by investors in the wake of the media industries’ shift from cable TV to online subscriptions.
Netflix shares have fallen by 71% in 2022, while the shares of Disney are down by 31%. This suggests a point of streaming saturation as consumers have a limited amount of money and time to spend on streaming services.
Streaming services for Disney are growing. Market analysts are forecasting that it will acquire 5.3 million new subscribers in March to a total of 135.1 million. Analysts have estimated that in the time period April to June, there will be a lot of new subscribers, almost 10.8 million of them.
In February, Disney restated that it is expecting to have between 230 million to 260 million Disney+ subscribers by September of 2024. In order to reach the lower end of this estimation, the company will need to have an average of 9.1 million new subscribers per month. And in order to reach the higher end of this estimation, there will be a requirement of 11.8 million new subscribers per month.
To address this, Disney is adding a host of new content to its streaming channel, including the debut of the anticipated “Obi-Wan Kenobi” series on May 27th. Disney will accelerate the pace of new programs as it comes out of its shell in the post COVID period.