Disney+ Raises Prices Amid Kimmel Controversy, Backlash

Disney has announced a price increase for its streaming platform, Disney+, just days after the controversial suspension and subsequent reinstatement of ABC late-night host Jimmy Kimmel. The price hike comes amidst ongoing backlash from media personalities and consumers who had called for cancellations of Disney+ and Hulu subscriptions in protest.

Starting October 21, the ad-supported Disney+ plan will increase by 2 dollars to 11.99 dollars per month, while the ad-free plan will rise by 3 dollars to 18.99 dollars per month. The annual ad-free subscription will see a 30-dollar increase, bringing it to 189.99 dollars. Bundle packages that include Disney+ and Hulu, with or without ads, will also see price increases ranging from 2 to 3 dollars per month.

This marks the fourth consecutive year that Disney has raised prices for its streaming services, a move aimed at maintaining profitability in its streaming division. The company had previously increased prices for some Disney+ plans by up to 25% in October of last year. Despite the price hikes, Disney's stock price showed no significant movement following the announcement.

The timing of the price increase has drawn additional scrutiny, coming just days after Disney faced backlash for suspending Kimmel's show, Jimmy Kimmel Live!, over controversial remarks about conservative activist Charlie Kirk. The suspension was met with criticism from major broadcasting groups, which decided to halt the show's airing in numerous markets. These groups cited Kimmel's remarks as "inappropriate and lacking empathy."

Despite Disney's statement that Kimmel would return to the air after "in-depth discussions," some broadcasting groups have indicated that they will continue to withhold the show from their programming schedules in several markets. The controversy has sparked broader criticism, with prominent Hollywood figures and media personalities urging consumers to cancel their Disney+ and Hulu subscriptions in protest. Searches for "how to cancel subscriptions" surged in the days following Kimmel's suspension.

Disney has stated that the price increase is part of its regular business planning and that notifications have been sent out this week. The company aims to achieve 1.3 billion dollars in streaming operating income by the end of the 2025 fiscal year, which concludes this month. In August, Disney launched a new sports content app, ESPN Unlimited, with a monthly subscription fee of 29.99 dollars. A bundle that includes Disney+, Hulu, and ESPN Unlimited is also available for the same price, although this bundle's price has not changed despite the recent increases in other plans.