10 Reasons Disney Plus Will Dominate Netflix
10. Low Price Point & $1 Billion Investment
The actual IPs which will draw people to the service will come later, but they wouldn’t really matter if the subscription cost $50 a month.
The service will be available for just $6.99 per month at launch, with it being rolled out in the US at first on November 12th, aiming for an entire worldwide coverage (excluding North Korea, presumably) by the end of 2021. That timeline is likely very generous, with Disney wanting to hit as many markets as possible as soon as possible.
Netflix ranges between around $9 to $16 in the USA, for reference, but it remains to be seen if Disney’s low price bracket is restricted to a single screen with a higher cost for more devices. One thing’s for sure; they’ve set aside $1 billion to invest in the service in 2020 alone, so they’re definitely pushing it hard.
They have the financial clout to make a loss while they attract customers, a technique common when trying to break into the market. Microsoft famously made losses on Xbox only to recoup it with later models, exclusives and accessories.
Make no mistake, Disney will have planned for every eventuality. They’re as close as it gets to "too big to fail".