While it’s still super early in the process and we don’t yet know if the sale will be approved, Disney’s acquisition of Fox really changes the landscape of their plans for their own streaming service. Obviously, Disney has a VAST catalog of content to mine, but now, things are a little different. While Disney already owned a portion of Hulu, they will now have a 60% stake in the service, making them the majority shareholder.
Starting a secondary service solely for Disney content seems counterintuitive. Hulu already has a few different plans and the ability to add on premium services like HBO and Showtime, they also have a Marvel original series, The Runaways, and a few Disney movies already on the service. Instead of spending the money to build an entirely new ecosystem, why not continue on with Hulu? They can create a new tier or add-on giving people access to additional Disney content and new original programming without having to get people on board with a whole new service.
As I’ve written about in the past the market is already getting oversaturated with different services and at some point, we’re going to hit a critical mass where there’s just too many. Before I continue, I should add this DISCLAIMER, I did recently cut the cord and go all in on Hulu, so it would be better for me, but logistically and economically speaking, it makes more sense to me to bring new customers on to Hulu who are interested in specifically the Disney content and try and upsell existing Hulu customers with additional content they’d be interested in as well (I know I’d be more likely to spend an extra $5 or so a month to access all the Disney shows and movies), instead of spending money and resources on an entirely new service that they really don’t need.
The current thought at Disney is that they’ll put all of the more adult themed content on Hulu while the Disney app will be for their “Family Friendly” material. I still see that as a mistake though, Netflix has a “kids” mode, it should be too hard to add one to Hulu.
What do you guys think? Should Disney create their own service that contains all of the Disney and now Fox content or would you rather see them dump all their chickens into the same basket and go all in with Hulu?