Disney’s subscription service Disney+ has had an impressive launch, reaching 95 million subscribers in just over a year. With Disney and Netflix two of the highest spenders in the streaming wars, Disney’s impressive growth seems to set up a head-to-head between the two companies for SVOD dominance.
But a closer look at the financial details of the two companies shows that Netflix’s business model is much stronger than Disney+’s says Tom Rogers, media mogul and chairman of Captify. For example a lot of Disney+’s growth comes from India, where average revenue per user (ARPU) is much lower than back home in the US. And Disney+’s success risks cannibalising other parts of Disney’s business.
In this interview Rogers gives his take on the winners and losers in the streaming wars, discusses the opportunities for CTV device manufacturers, and outlines what traditional broadcasters need to do to stay competitive.