This may be the hardest break up yet.. Disney has decided to end it’s relationship with Netflix and start it’s own direct to consumer streaming service. Stop. Take a deep, everything will be ok. Nothing will happen over night, but expect some of your favorite Disney titles as well as Pixar titles to go missing towards the end of 2018.
The upside? The new platform will be the hub for all Disney movies coming up, beginning with big names such “Toy Story 4”, “Frozen 2” and the upcoming live action “Lion King”.
What’s more? The company is also set to launch it’s own ESPN video streaming service in early 2018. The new platform from Disney will feature over 10,000 sporting events each year from MLB, MLS and NHL to both collegiate sorts and tennis Grand Slam tournaments.
How does the Disney Company, one of the world’s leading producers and providers of entertainment and information, plan to do all this?
In short the answer is BAM! Well more specifically BAM Tech, for which Disney now owns a majority ownership worth $1.58 billion. The new acquisition, “represents a big strategic shift for the company..having control of a platform we’ve been very impressed with.. would give us control of our destiny,” said Disney CEO Bob Iger in an interview with CNBC’s Julia Boorstin.
Netflix stock dropped more than 5 percent after the announcement from Disney.