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Tuesday, March 2, 2021

Streaming Showdown: Disney, Netflix, mouse vs. red box

Walt Disney Co. is confronting Netflix with its

biggest threat yet in an intensifying battle for video

streaming supremacy.

The House of the Mouse will bring a

treasured film library along with nearly

a century of entertainment experience

when it launches its long-awaited

Disney Plus streaming service in

November. What’s more, Disney

Plus initially will cost just $7

per month, nearly 50 percent

less than Netflix’s most

popular plan.

Disney had already been

steadily increasing its

programming budget for years. It

also recently completed a $71 billion

acquisition of Fox’s entertainment business.

Meanwhile, Netflix has spent tens of billions on

programming during the past six years while

expanding to nearly 149 million worldwide


Disney expects to reach as many as

90 million subscribers within five years

of its service’s debut. It took Netflix

nearly a decade to hit that figure.

What’s unclear is whether Disney will

make as much money selling streaming

subscriptions as it once did

licensing its programming to

Netflix and other companies.

Investors have endorsed Disney’s

strategy recently by propelling the

company’s stock to all-time highs.

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