Disney+ Cheap Streaming Plan Limits Ads To 4 Minutes Per Hour – Disney Disney – cnBeta.COM

Disney will launch an inexpensive ad-supported version of its Disney+ streaming service later this year, and reports this week suggest the company plans to use fewer ads on the budget plan than some rival streaming services. According to Variety and The Wall Street Journal, Disney said it intends to run four-minute commercials on movies and shows that last an hour or less.

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That’s the same spec as HBO Max, which is lower than NBC’s Peacock, which offers no more than five minutes of commercials per hour, and Disney’s own Hulu, which has nine to 12 minutes of content per hour. And traditional TV viewers are typically exposed to 18 to 23 minutes of ads per hour, according to Kantar.

Disney also confirmed that the preschool show will be free of any commercials. In other words, preschoolers won’t see any ads if they use their profile to watch Disney+ on a cheaper plan.

Disney hasn’t revealed the price of the ad-supported plan, which will debut in the U.S. in late 2022, but Disney executives said on the company’s most recent earnings call that once the cheaper plan rolls out, there could be a dent in existing no-nonsense plans. There is a price increase for the advertising plan, which is currently $7.99 per month.

Netflix plans to launch a new budget plan for ad-supported streaming in the last three months of the year, a plan aimed at attracting new subscribers who find current pricing unaffordable. Netflix has long resisted implementing an ad-supported tier, and has said several times in the past that the streaming service will never show ads, but Netflix is ​​losing subscribers, forcing them to change their practices.

Disney also said in June 2021 that it had no plans to launch a cheaper ad-supported streaming package anytime soon, as it was comfortable with its paid-user model, but then changed its tune in March.

Other entertainment companies such as Discovery, NBCUniversal, WarnerMedia and Paramount have launched ad-supported subscription tiers to offer content at multiple price points. When Disney+ rolls out its ad-supported tier, it will make Apple TV+ one of the only services that doesn’t offer a cheaper streaming option.

Right now, Apple TV+ is priced competitively even with ad-based services at $4.99 a month, but Apple doesn’t have the rich content that other streaming services can offer.

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