Disney said it will spend $33 billion in developing new content for the company’s streaming services.
Disney has Disney+, ESPN+, and owns a majority stake in Hulu. The $33 billion is an increase of $8 billion from the 2021 fiscal year. Disney is also outspending Netflix in developing new content by $13 billion, according to the New York Post.
Last Fiscal year, Disney spent $25 billion on new films and shows for their streaming platforms. Disney is investing heavily on growing their already massive subscribers count.
As an example, Netflix has 214 million global subscribers while Disney+ only has 118 million subscribers. Netflix also reported a recent decline in new subscribers, the LA Times reports. According to that report, Netflix added over 60% fewer subscribers in July the second quarter of 2021 than it did in quarter one. However, Netflix is riding the wave of the popular Squid Game film gaining 4.4 million in the third quarter of 2021.
“The increase is driven by higher spend to support our DTC [direct-to-consumer or streaming] expansion and generally assumes no significant disruptions to production due to COVID-19,” the company wrote in the annual report.
Disney+ is currently the fastest growing subscription service around. The company will see big competition soon as HBO MAX’s parent company WarnerMedia is currently in the process of merging with Discovery to combine the two companies streaming services. The new company will include HBO, Discovery, Warner Bros., and TLC and the Food Network under one umbrella.
Disney+ added 2 million paid subscribers in the third quarter of 2021.