Sat. May 18th, 2024

Disney and Warner Bros. Discovery are joining forces to offer a streaming bundle with Disney+, Hulu, and Max. The joint streaming package, which is slated to launch “this summer,” will come in both ad-supported and ad-free flavors.

The “Disney Bundle” is already a big success for the Walt Disney Company, as it allows customers to join several streaming services at a substantially reduced price. Bundle subscribers get the added benefit of streaming Hulu content in the Disney+ app.

However, few customers use the ESPN+ service that’s included with the standard Disney Bundle. A bundle that swaps ESPN+ for the Max platform makes sense for customers who don’t watch sports. Plus, if Warner Bros. Discovery wants to enjoy the benefits of bundling (increased customer acquisition with fewer cancelations), it needs to partner up with rival services, as Max is the only major streaming platform in the WBD catalog.

“Beginning this Summer in the U.S, the streaming services will be offered together, providing subscribers with the best value in entertainment and an unprecedented selection of content from the biggest and most beloved brands in entertainment including ABC, CNN, DC, Discovery, Disney, Food Network, FX, HBO, HGTV, Hulu, Marvel, Pixar, Searchlight, Warner Bros., and many more.”

Of course, Disney and Warner Bros. Discovery are currently working on a sports streaming platform that combines ESPN, FOX, TNT, TBS, BTN, and truTV coverage for nearly all major sporting categories (NFL, NBA, FIFA, NASCAR, etc). Some competitors, including Fubo, call the Disney-Warner sports venture “anticompetitive.” In any case, the upcoming Disney+, Hulu, and Max bundle appears to be a foreshock of this partnership.

Note that cross-company streaming bundles aren’t all that unusual. But these bundles are usually offered by carriers or internet service providers—Verizon has a Netflix and Max bundle, for example. The upcoming Disney+, Hulu, and Max bundle will be readily available from Disney and Warner Bros. Discovery, and in that respect, it’s unique.

Pricing for the Disney+, Hulu, and Max bundle is unknown. However, the standard Disney Bundle is about 50% cheaper than if you purchased all of its services individually, so we should expect a similar discount with the joint Disney-Warner package.

Source: The Walt Disney Company

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By John P.

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