Disney is increasing prices for its streaming services – Disney Plus, Hulu, and ESPN Plus – effective Tuesday, marking another round of cost adjustments for subscribers. This is the second price hike in less than a year, with the previous increase occurring in October 2024. The moves come after Disney launched its standalone ESPN platform and amid broader industry trends of streaming services raising prices to offset rising production costs and competition.
Key Price Changes
The most significant increases are hitting legacy plans that bundle multiple services. Here’s a breakdown:
- Disney Plus Premium (with Hulu and ESPN Select): Increasing from $22 to $25 per month. This plan is no longer available to new subscribers.
- Hulu Plus Live TV (legacy plan): Rising from $88 to $95 per month. Like the Disney bundle, this plan is closed to new sign-ups.
Notably, certain subscriptions remain unaffected, including Hulu’s ad-free tier, the Disney Duo bundle, and new bundles featuring ESPN Unlimited. Existing subscribers will see the price change reflected in their next billing cycle. New subscribers will pay the higher rates from Tuesday onwards.
Why This Matters
Disney, like other streaming giants, is facing pressure to turn profits as subscriber growth slows. Price hikes are a direct response to this, aiming to increase revenue per user. However, repeated increases risk driving customers away, especially in a competitive market where alternatives exist.
The timing also comes after Disney faced criticism for suspending Jimmy Kimmel’s late-night show, suggesting the company is navigating both financial and public image challenges.
In short: Disney is betting that subscribers will continue to pay more rather than cut the cord, but the long-term impact on retention remains to be seen.
