Disney and Warner Bros. have recently announced a groundbreaking partnership to woo an increasingly picky audience and stay ahead of the competition in the streaming market.
The companies confirmed plans for a mega streaming bundle combining Disney+, Hulu, and Max services, which will launch in the United States this summer.
Disney and Warner Bros. Team Up for Mega Streaming Bundle
In a recent earnings call, Warner Bros Discovery (WBD) CEO David Zaslav stressed the importance of meeting consumer demands, stating, "Ultimately, you've got to follow the consumer."
The move aims to provide a more exciting offering to retain subscribers amidst growing competition from tech giants like Amazon and Apple, who are aggressively expanding their streaming services.
Yahoo Finance tells us that while specific pricing details have not been disclosed, management at WBD assured that the service "will be priced very attractively for the consumer." This move comes at a time when US consumers are subscribing to an average of four streaming services, spending approximately $61 per month.
A Bid to Capture More Subscribers
The partnership between Disney and Warner Bros. signals a shift in the streaming landscape, with companies increasingly recognizing the benefits of collaboration over competition. Previous examples like the Apple One bundle have demonstrated the effectiveness of bundling services in attracting and retaining subscribers.
JB Perrette, an executive at Warner Bros. Discovery, expressed optimism about the venture, stating, "This new offering... will help drive incremental subscribers and much stronger retention." The companies will reveal more details about the bundle in the coming weeks, including pricing options and features.
The move reflects a broader trend in the streaming industry, where companies are joining forces to offer combined services. Earlier collaborations include Warner Bros.'s partnership with Netflix on a $10 ad-supported bundle.
Disney's quarterly financial results underscore the importance of expanding its streaming services. Between January and March, Disney+ gained over six million subscribers globally, bringing its total subscriber count to more than 117 million.
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