Disney focuses on streaming as it falls to a loss

Brenda Watkins
August 5, 2020

The move will also come as another financial blow to movie theaters, which remain largely closed throughout the U.S. It even sparks speculation that Disney will also switch its next Marvel Cinematic Universe release "Black Widow" to a streaming release, though that has not been announced. It will cost $30 in United States in addition to Disney Plus' regular subscription price, with the Mulan costs coming close to $30 also in worldwide markets where it'll will be available too, including Canada, Australia, New Zealand and a number of countries in Western Europe. Disney's news makes it sound like Mulan will only be available to Disney+ subscribers.

It sounds like subscribers will have to pay an additional $29.99 for the film, although Chapek didn't offer any details about how this will work.

It will be available on the platform on September 4 and will be valued at $29.99 for "premium rental".

Disney Stores were also closed most of the quarter as were many other retail locations that would be selling Disney merchandise. Tuesday's subscriber report means that Disney hit its goal four years early. Shanghai Disney Resort reopened in May and Hong Kong Disneyland Resort briefly reopened in late June. Revenue for the segment tanked 85% from a year ago to below $1 billion.

SpaceX Brings NASA Astronauts Home in Milestone Test Flight
Which was kind of fun, by the way, ' Hurley said during a welcome-home ceremony in Houston, where NASA's astronaut corps is based. The pair were to undergo medical checks onshore in Pensacola ahead of a flight to NASA's Johnson Space Center in Houston, Texas.

"In order to meet the needs of consumers during this unpredictable period, we thought it was important to find alternative ways to bring this exceptional family-friendly film to them in a timely manner", Disney CEO Bob Chapek said on the company's earnings call.

"While the surge in COVID-19 cases gives us some pause, Disney seems well poised to gradually tap into pent-up demand amid a phased reopening of parks, and a gradual return of live sports events", Amobi wrote in a note to clients. "The global reach of our full portfolio of direct-to-consumer services now exceeds an astounding 100 million paid subscriptions - a significant milestone and a reaffirmation of our DTC strategy, which we view as key to the future growth of our company". Aside from Disney's direct-to-consumer & global segment, which houses Disney+, every single other unit saw year-over-year revenue declines.

The media network segment, which includes ESPN and Disney channels, reported a 48 per cent jump in operating income to US$3.15 billion. Operating income loss increased 26%, from a loss of $562 million to a loss of $706 million.

The direct-to-consumer division, of which Plus is a part, saw revenue tick up slightly, by 2 percent, from $3.88 billion in the same quarter in 2019 to $3.97 billion in 2020. That's right, they do all the work and it doesn't cost you extra. ABC also benefited from lower programming costs.

Other reports by