Disney Reportedly Preparing to Roll Out Free Streaming Channels on Disney+ App
The move to add free streaming channels is the latest bid by Disney to increase engagement on its streaming platform.
Fresh off a proxy fight win against activist investor Nelson Peltz, Disney CEO Bob Iger is feeling confident and emboldened to fully enact his strategy to get the company’s streaming segment to profitability as soon as humanly possible. A new report from The Information suggests that the company will soon be bringing free ad-supported TV (FAST) channels on its flagship streaming service Disney+ in an effort to increase revenue and engagement. The plan reportedly will include around-the-clock linear channels that broadcast titles from Star Wars, Marvel, and other popular franchises owned by the company.
- Disney+ will reportedly keep these channels behind a paywall, making them available only to subscribers.
- There are few details available as yet, such as the number of channels available or a launch date.
- Disney launched free streaming channels on the ABC app in December, but overall its offering of FAST networks is slim.
The Information’s report included scant details surrounding the plan, but cites unnamed sources who declined to provide insight into a target launch date for the channels or any further information; accordingly, Disney declined to comment on the record about the plan. One important detail that The Information obtained is that so far, the plan is to house the channels behind the Disney+ paywall, meaning that only subscribers will be able to view them, even though they’ll be ad-supported.
The report does specify that Disney is mulling putting content from some of its biggest franchises on the channels, much as The Streamable predicted it would if it ever created its own FAST channels. A Marvel channel could be dedicated to streaming shows like “WandaVision,” “Echo” and even the new “X-Men '97,” while a Star Wars channel would play episodes of “The Mandalorian,” “Andor” and “Ahsoka.”
The writing has been on the wall for this move for a few months. In December, Disney rolled out a package of more than 20 free streaming channels to the ABC app, including news networks as well as channels dedicated to single shows like “Supernanny.” That move created speculation that Disney was gearing up to offer more free streaming channels, but there has been little public movement on that front from the company until now.
Why Is Disney+ Preparing to Add Free Streaming Channels?
Disney’s quest to boost engagement with its streaming platform has led it to the brink of adding FAST channels. It’s the same reason that Disney decided to roll out Hulu titles on Disney+ for subscribers to both streamers; the official launch of Hulu on Disney+ came in March. Like with the FAST channels, the goal of this “one-app experience” is to reinforce the value that the streamers have in the lives of customers, by providing more content in a single streaming location.
FAST channels can be a significant help to viewers in one specific area that most subscription video services are falling behind in: content discovery. A September 2023 survey found that 78% of FAST viewers think that services like Pluto TV and Tubi are well-organized and help point audiences to new content quickly, or simply take away the burden of choice by providing free channels with already-chosen shows and movies. By comparison, 52% of subscription streaming users report that titles specifically recommended to them by platforms don’t accurately reflect their watching tastes.
The addition of FAST channels to Disney+ would move the platform even closer to the traditional cable bundle of old. Live channels alongside on-demand content could be just the start for Disney in this regard, as it very well might decide to merge all of its entertainment titles, as well as live sports and surrounding news from ESPN onto a single streaming app with all of the company’s offerings. This platform could even feature livestreams of Disney-owned linear channels, like the new joint venture streamer coming from Disney, Fox, and Warner Bros. Discovery will.
Disney is one of the few companies that does not operate a service dedicated to free, ad-supported streaming content. Fox has Tubi, while Paramount has Pluto TV and Amazon operates Freevee. It may not be preparing to create a completely new, ad-supported streaming platform, but it does appear that Disney is gearing up to increase the number of free streaming networks that it operates, which could lead to a wider distribution of those channels in the future.
Disney+
Disney+ is a video streaming service with over 13,000 series and films from Disney, Pixar, Marvel, Star Wars, National Geographic, The Muppets, and more. It is available in 61 countries and 21 languages. It is notable for its popular original series like “The Mandalorian,” “Ms. Marvel,” “Loki,” “Obi-Wan Kenobi,” and “Andor.”