Disney Explores Cheaper, Ad Supported Tier Of Disney+ Streaming Service - Walt Disney (NYSE:DIS)

The Walt Disney Co DIS is launching a cheaper, ad-supported tier of its Disney+ streaming service in the U.S. in late 2022. It also aims to expand internationally in 2023.
Disney would be joining the majority of entertainment companies, including AT&T Inc T WarnerMedia, Discovery Inc DISCA, Comcast Corp's CMCSA NBCUniversal, and Paramount Global PARA, which have launched ad-supported tiers of their streaming services as they seek to grow in the increasingly competitive streaming market, the Information reports.
Disney seeks to hit its goal of profitability for its direct-to-consumer business in 2024 as it could fire up slowing subscriber growth for the service.
The moves signal how the focus of video streaming has shifted away from ad-free services, like that pioneered by Netflix more than a decade ago, to a more traditional ad-supported television model.
Price Action: DIS shares traded lower by 1.63% at $143.20 on the last check Friday. (Updated)
Editor's note: The news has been updated with confirmation of Disney launching the service in late 2022.