When viewers slowly and steadily switch from conventional TV subscription to internet-based contents, the money to be made is alluring even for Disney.
It was back in August 2016, when Disney acquired a minority stake in BAMTech for $1 billion, and later in 2017 when Disney acquired a controlling stake in the company by increasing its stake. Alongside the acquisitions, Disney revealed its plans for a Disney-branded direct-to-consumer service for its entertainment contents.
Then in December 2017, Disney announced its intention to acquire key entertainment assets from 21st Century Fox, to bolster its content portfolio for its streaming products.
It was in April 11, 2019, that Disney finally announced that Disney+ would launch on November 12, 2019, in the U.S..
With the move certain, Disney ended its content distribution agreement with Netflix.
As a subscription video on-demand (SVOD) streaming service, Disney+ is built around content from Disney's main entertainment studios, including Walt Disney Pictures, Walt Disney Animation Studios, Pixar, Lucasfilm, Marvel Studios, National Geographic, and select films from 20th Century Fox, Fox Searchlight Pictures, Hollywood Pictures, and Touchstone Pictures.
The service operates alongside Hulu, after Disney gained a controlling stake, following the 21st Century Fox purchase.
Just as planned, Disney+ was launched on November 12th, 2019, starting in the U.S., Canada, and the Netherlands.
Upon launch, Disney+ experienced some technical difficulties, with users complaining error messages and being unable to connect. Many subscribed viewers turned to social media to vent their anger about their inability to connect, long waits to speak with customer support or problems.
Disney+ experienced this hiccup as its servers weren't able to cope with the sudden surge of viewers.
“The consumer demand for Disney+ has exceeded our highest expectations. While we are pleased by this incredible response, we are aware of the current user issues and are working to swiftly resolve them,” a Disney spokesperson said.
But still, Disney+ is well received by the general public.
What makes Disney+ a formidable opponent to any other streaming services is that, Disney+ has an expansive catalog, which contains nearly every single property the Walt Disney company owns.
And since it also owns everything made by 20th Century Fox, Marvel, Lucasfilm, Pixar, and more, the choices are just more than plenty.
In other words, with Disney+ the Walt Disney Company is showing just how far the entertainment industry and itself have innovated throughout the years and decades. For users and the world, Disney+ is also a reminder of how big and powerful the corporation has become.
The Walt Disney Company, commonly known as Disney, is an American diversified multinational mass media and entertainment conglomerate headquartered in California.
Originally founded on October 16, 1923, by brothers Walt Disney and Roy O. Disney, the company established a strong foothold in the entertainment industry, before diversifying into live-action film production, television, and theme parks.
It was only half a century after it was founded that Disney’s audio-animatronic theme-park wonders were considered revolutionary. And this time, with Disney+, the company late entry into streaming, sends both happiness and fear throughout the industry.