Disney Raises Streaming Prices Amid Industry-Wide Shift to Profitability

Disney is poised to increase prices for its streaming services as early as this week, according to Bloomberg. The ad-free tier of Disney+ will see a 13% hike, with prices rising from $19 to $21.49 per month.

The standalone ad-free Hulu plan will also undergo an identical price increase. However, the company is expanding the relative value of its bundled offerings in an effort to curb subscriber churn.

Standalone ad-supported plans for Disney+ and Hulu will see a 50-cent price increase, but the ad-supported bundle price remains unchanged at $12.99 per month. The combined ad-free tier of both services will now cost $21.99 per month, up from $19.99.

The pricing adjustments come as the entertainment industry continues to shift towards sustainable profitability. Disney's recent third-quarter results showed a 64% surge in operating income, driven by expanding online video profit margins.