The strong growth of the Disney+ service appears to be slowing down and Wall Street isn’t happy.
As part of an investor call, it was revealed that Disney+ hit 118.1 million memberships over the July-September quarter this year – up 2.1 million from the previous quarter but well short of analyst estimates of 10 million net additions for the period.
CEO Bob Chapek reiterated that the company is still well on its way to hitting its target of 230 milllion-260 million subscribers by fiscal year 2024 and still has a 60% year-over-year sub growth total.
The blame for the slowdown is being put on content-production delays. More consistency with their original releases is being seen as the solution, even as that won’t really happen until the back half of 2022.
By the end of September next year, the plan is to double the amount of original content currently on Disney, Marvel, Pixar, Star Wars and National Geographic.
Chapek also says he intends to boost Disney+ content spending above the $8 billion-$9 billion range to widen its programming for international markets.
Source: THR
