The streaming service’s current ad-free plan costs $7.99 per month and $79.99 per year.
Disney has planned to introduce an ad-supported subscription offer on its Disney+ streaming service in addition to its option without ads, beginning in the US in late 2022, with plans to expand internationally in 2023.
Following the launch, the streaming service will join several other streaming services that offer ad-supported tiers, including HBO Max, Paramount+ and Discovery+.
Speaking about the ad service, Kareem Daniel, Chairman, Disney Media and Entertainment Distribution, said: “Expanding access to Disney+ to a broader audience at a lower price point is a win for everyone – consumers, advertisers, and our storytellers. More consumers will be able to access our amazing content. Advertisers will be able to reach a wider audience, and our storytellers will be able to share their incredible work with more fans and families.”
Rita Ferro, President, Advertising, Disney Media and Entertainment Distribution, added: “Since its launch, advertisers have been clamouring for the opportunity to be part of Disney+ and not just because there’s a growing demand for more streaming inventory. Disney+ with advertising will offer marketers the most premium environment in streaming with our most beloved brands, Disney, Pixar, Star Wars, Marvel and National Geographic. I can’t wait to share more with advertisers at the Upfront.”
The ad-supported offering is viewed as a building block in the company’s path to achieving its long-term target of 230-260m Disney+ subscribers by FY24.
More details, including launch date and pricing, will be announced at a later date.
