Disney Forky and Woody Characters from Disney Toy Story 4
Disney | Pixar
The current wars are here.
With a huge library of popular shows and movies from Pixar, Star Wars, Marvel and more, Disney + is poised to be Netflix's biggest competitor when it launches on Tuesday.
And this is only the beginning. AT&T's WarnerMedia will launch HBO Max in the coming months, and Comcast's NBCUniversal will launch its first streaming service called Peacock. (Apple TV + streaming service launched earlier this month, but its library is limited to just a few shows. It's not expected to be a major streaming player until it can improve its programming.)
Netflix can have a head start with more than 1
Meanwhile, Netflix has been steadily raising its prices over the last few years. His most popular plan costs $ 12.99 a month. While Netflix is optimistic about the growing influx of new competitors lifting all streaming players, it also acknowledged in its third-quarter earnings report that increased competition and higher prices could limit subscribers' growth.
Disney has another attractive proposal. Disney will give Disney +, Hulu (with ads) and ESPN + subscribers $ 12.99 a month. That means you get streaming from NBC, ABC, Fox and more, loads of stuff from ESPN and everything at Disney + for the same price you already pay for Netflix. This is the best deal for streaming.
HBO Max, which includes all the standard HBO shows plus more content from WarnerMedia like "Big Bang Theory" and "Friends" for $ 14.99 a month, the same price as "regular" HBO. (The hope is that HBO subscribers will convert to Max.) NBCUniversal's advertising peacock is expected to be free for everyone, CNBC announced earlier this month. (There will also be a paid ad-free version.)
Now for the kicker.
Don't expect all this free and cheap streaming to continue. Currently, the goal of all these new services is to grow their subscribers as quickly as possible. Eventually, prices will rise. This is the same strategy that Netflix has used over the years: Get subscribers hooked up to the service, then gradually raise prices. The first battle in the ongoing wars will be about eyeballs.
The money comes later.
Disclosure: Comcast is the parent company of NBCUniversal, which owns CNBC.