Less than a year ago, Disney forged a movie streaming partnership with Netflix. But today, the media giant officially announced its plans of terminating its ESPN deal with Netflix and establishing its very own streaming Service.
Disney’s exclusive streaming service
Once again, Walt Disney Co. is shaking up the media industry. Bloomberg reports that the animation giant will break some ties with Netflix Inc. and commence its own streaming services. The service aims to offer Disney’s family films and ESPN sports programming directly to viewers. Disney’s subscription-video service will be the new and exclusive home of its iconic animations and live-action films.
Exclusive treats from Pixar will also be included in the mix.
QZ says Disney’s online entertainment service will kick off in 2019. Its ESPN online service is set to feature more than 10,000 live events annually, including major league events in hockey, soccer, tennis, and baseball as well as college sports. The service will kick off in time for the release of the anticipated sequel to the hit “Frozen.” Meanwhile, the live-action remake of the another classic, “The Lion King” will join in after hitting the big screen
The Burbank, California-based Company has not yet decided on the next steps for Lucasfilm and Marvel. Both studios are home to the huge franchise which includes “The Star Wars” and “Avengers” respectively.
They also contribute a significant number of Disney’s output. Both Lucasfilm and Marvel movies form part of the company’s existing deal with Netflix. According to Disney CEO Bob, the company is deciding whether to continue their film licensing with Netflix, contract a different streaming service, roll both Marvel and Lucasfilm into its own streaming service, or completely launch a separate platform.
Netflix makes a move
Several days before Disney officially announced its bold move, Netflix already made moves of its own. Earlier this week, Netflix stocked up on superhero programs by purchasing comic-book publisher Millarworld. The very first corporate acquisition in Netflix’s history acquired the Mark Millar’s mini-Marvel universe.
Disney’s announcement of the plan to establish its Netflix-style streaming-service came with the reports of its positive performance. Results for the second quarter of the year revealed that the company was able to beat forecasted earnings for the third quarter of 2017. The actual adjusted earnings were $1.58 per share, higher than the $1.55 per share projection. Credits are due to its theme parks since poor performances by several films like the “Pirates of the Caribbean: Dead Men Tell No Tales” have badly hurt the company’s business. The overall decline in ESPN is also putting pressure into Disney’s media network business.
