... just googled it:
So they are _adding_ a new plan that's cheaper and ad-supported, and they are not touching the current plans. So nothing will change for my current subscription plan thankfully.
> Disney+’s ad-free subscription tier, which currently costs $7.99 monthly and $79.99 annually, will remain available.
and this:
> What’s more, if the Disney+ profile being used is associated with a child, no ads will play.
source: https://tvline.com/2022/05/17/disney-plus-with-ads-subscript...
edit:
A clarification for the advertising to kids things. Looks like it's no ads to preschool kids
> Regarding kid-targeted ads on Disney+, Ferro said, “Yes, we’re going to have advertising… to kids, but it’s going to be controlled advertising with a lot of parental levers to pull. We’re not going to collect data on that.” She added that there won’t be advertising in preschool content on Disney+ at launch.
source: https://variety.com/2022/digital/news/disney-plus-advertisin...
But it will not remain available at that price. Instead that's what the plan with ads will cost, and the prices of the current ad-free plan will be bumped up by 30%.
I just found this contradiction to what I had mentioned earlier (going to edit my original message)
> Regarding kid-targeted ads on Disney+, Ferro said, “Yes, we’re going to have advertising… to kids, but it’s going to be controlled advertising with a lot of parental levers to pull. We’re not going to collect data on that.” She added that there won’t be advertising in preschool content on Disney+ at launch.
https://variety.com/2022/digital/news/disney-plus-advertisin...
https://dmedmedia.disney.com/news/ad-supported-disney-plus-s...
> Premium (No Ads) $10.99
Fundamentally the problem with paying for ad-free content is that the people who can afford to pay for it are the people advertisers want to target.
> The Dow giant still expects Disney+ to be profitable in 2024.
Disney+ isn’t profitable once you take into account “transfer payments”. They may not be profitable at all yet. But they specifically mentioned being profitable including transfer payments.
That basically means that when Disney movie studios use to sell streaming rights to another company - say Netflix. They may make for instance $500 million (made up number). Disney+ still “pays” the Disney movie studio $500 million. It’s counted against Disney+ profits. Of course the Disney company as a whole keeps most of that money. But it still has to pay part of it to the actors, producers, etc who have a revenue share agreement.
It was a big point of contention when Black Widow was released.
Why should the Disney+ manager get credit for making $450 million in profit by causing Disney Movie Studios to lose $500 million? How is that good for the overall business? Again I’m completely making up numbers.
We had a method to pay one bill and get all of the content you wanted - it was called “cable”.