On Tuesday, Walt Disney Co said it will offer a $ 13 package a month of its three streaming services starting in November, a move to attract audiences who have embraced digital services like Netflix Inc.
The Disney package includes the Disney + digital family offer, the ESPN + sports service and Hulu, which caters to adults, for a discount of $ 5 a month. Hulu's offer in the package will include commercials.
This price is the same as the most popular Netflix plan, which allows streaming to two devices simultaneously.
Disney "obstructed Netflix by announcing an advertising package of Disney + and ESPN + and Hulu at the same price," said Kamal Khan, an analyst at Investing.com.
Disney and Netflix executives said they believe there is room for both services in the growing market of digital options that are attracting customers away from cable TV.
Video streaming competition will soon intensify, with Apple Inc, WarnerMedia of AT&T, HBO Max and NBCUniversal of Comcast Corp, planning to implement new services. Customers are leaving cable TV, but now they have to decide how much they want to pay for digital offers.
Hulu is currently available for $ 5.99 a month with advertising or $ 11.99 without ads. ESPN +, which offers sports that are not shown on ESPN's cable channels, including Ultimate Fighting Championship attacks, rugby and some professional baseball and soccer games, costs $ 4.99 a month. Disney + alone will cost $ 6.99 when it starts streaming on November 12 with a series of new and classic TV shows and movies. Disney shares traded 5% less after reporting a steeper earnings decline than expected on Wall Street Tuesday.