Disney has announced that it’s raising the price of Disney Plus to $10.99 / month, up from its current price of $7.99 / month, starting December 8th in the US. The move comes as the company is looking to restructure its pricing options, which will soon include a $7.99 / month ad-supported tier.
Disney’s also raising the price of its Hulu subscription. The ad-free tier will jump from $12.99 / month to $14.99, while the ad-supported version will cost $7.99 / month, up from $6.99. The new pricing goes into effect on October 10th. A price hike for unbundled ESPN Plus streaming was announced in July, taking the monthly price from $6.99 to $9.99.
The price increases also affect bundled plans. Users with an ad-free Disney Plus subscription along with an ad-supported plan for Hulu and ESPN Plus will increase from $13.99 to $14.99 / month. Disney’s also introducing a bundle that includes Disney Plus and Hulu with ads for $9.99 / month. Meanwhile, Disney Plus, Hulu, and ESPN Plus, all with no ads, will cost $19.99 / month.
Last quarter, Disney reported adding 8 million new subscribers to Disney Plus around the same time Netflix announced a decrease in subscribers for the first time in a decade. Now, Disney CEO Bob Chapek says it has added 14.4 million customers to Disney Plus in the third quarter; however, at the same time, its direct-to-consumer division, which includes the streaming units, lost more money than in previous years. According to Disney, rising production and programming costs for Disney Plus and higher sports programming costs at ESPN Plus contributed to the losses.