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Disney is considering a free tier for some Disney+ content. The move comes as free streaming services gain viewers and paid services raise prices.
Disney is discussing a plan to make some content on Disney+ available without a subscription. Two people familiar with the matter said the talks involve product and tech chief Adam Smith. Smith addressed the idea during a streaming town hall on Thursday afternoon but did not provide a timeline or scope.
The Disney+ and Hulu bundle currently costs $12.99 a month with ads or $19.99 without ads. Free streaming services have increased their share of U.S. television viewing. Nielsen data showed the three largest free streamers accounted for 18.7% of watch time on U.S. TVs in April, up from 16.8% a year earlier.
Other paid streaming services such as Apple TV and Paramount+ offer limited free samples but do not have full free tiers. Disney and other companies are also testing short-form vertical video and micro dramas to increase engagement on their platforms. Netflix announced this week it will add 3- to 20-minute videos next month from several publishers.
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