Disney considers licensing streaming content
July 14, 2023
Walt Disney Company CEO Bob Iger has said that the company is cutting back on movies and TV series from its Marvel Studios and Star Wars franchises, and that it would also consider licensing content to other streaming platforms. The move comes as the company is looking to cut costs during a time when its recent releases have underwhelmed at the box office.
“You pull back not just to focus, but also as part of our cost containment initiative. Spending less on what we make, and making less,” Iger said, speaking to CNBC.
He also told the broadcaster that the ABC broadcast network ‘may not be core’.
Earlier this year, Disney rolled out a reorganisation of the business that included $5.5 billion in cutting costs. Iger said that a lot of decisions were made to boost the company’s flagship streaming service, Disney+, and attract more customers.
Iger pointed at Marvel as being a particular example of the company’s desire to amp up its original content on streaming.
“Marvel is a great example of that. It had not been in the television business at any significant level, and not only did they increase their movie output, but they ended up making a number of TV series,” said Iger. “Frankly, it diluted focus and attention.”
Iger added possible the company could potentially license Disney content to other streaming platforms in the future.
“It’s a possibility. I won’t rule it out,” Iger said. He added that licensing had been part of a collection of models that formed the traditional TV business, and holding back content for their own platform in the early days of Disney+ was the right move.