Disney is raising prices across its streaming portfolio for the fourth consecutive year. The hikes come just weeks after the company reported $6.2 billion in Direct-to-Consumer revenue and its first meaningful streaming profit — and amidst consumer backlash, including boycott calls tied to the cancellation and reinstatement of Jimmy Kimmel.

Effective October 21, 2025, and according to updated support pages for Disney+, Hulu, and ESPN, the hikes affect standalone plans as well as bundles:

• Disney+ with ads: $9.99 → $11.99/month

• Disney+ Premium (no ads): $15.99 → $18.99/month

• Disney+ Premium Annual: $159.99 → $189.99/year

• Disney+ + Hulu (with ads): $10.99 → $12.99/month

• Disney+ + Hulu + ESPN Select (with ads): $16.99 → $19.99/month

• Disney+ + Hulu + ESPN Select Premium (Disney+/Hulu no ads; ESPN Select with ads): $26.99 → $29.99/month

• ESPN Select Monthly: $11.99 → $12.99

• ESPN Select Annual: $119.99 → $129.99

The moves continue a pattern of annual increases since 2022, pushing most core offerings up $2–$3 per month.

Financial Context

The timing aligns with stronger results in Disney’s latest quarter. In Q3 FY2025, Disney’s Direct-to-Consumer (DTC) segment:

• Generated $6.176 billion in revenue, up 6% year-over-year.

• Delivered $346 million in operating profit, a turnaround from a $19 million loss a year earlier.

• Reported 127.8 million Disney+ subscribers globally, alongside 55.5 million Hulu subscribers.

• Saw average monthly revenue per Disney+ subscriber edge higher in both domestic ($8.09) and international ($7.67) markets.

CEO Bob Iger emphasized in the executive commentary that integrating Hulu into Disney+ and expanding ESPN offerings are central to sustaining profitability and long-term subscriber growth.

INSIDER TAKE

For subscription leaders, Disney’s hikes highlight three strategic lessons:

1. Normalization of annual increases — Disney is conditioning subscribers to expect regular resets. Annual hikes of $2–$3 have become routine, setting a precedent for others managing investor expectations.

2. Bundles as value framing — By raising prices across both standalone and bundled tiers, Disney is steering subscribers to evaluate bundles as the “better deal,” even at higher overall price points.

3. Profitability before growth — With DTC now turning a $346 million profit, Disney is signaling that revenue per subscriber is as important as adding new accounts.

The lesson for subscription executives: steady, predictable increases tied to clear product value — like content integrations or sports rights — can be tolerated by consumers if communicated well. The challenge is ensuring those hikes don’t push marginal subscribers to churn faster than ARPU gains can offset.