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Disney streaming costs approach $7bn, price hikes before long

With just three months until the curtains are drawn on Disney+, the ship looks unsteady as costs associated with the streaming launch bogged down Disney’s second quarter results. Qualms were relieved somewhat through the revealing of an enticingly priced three-course platter costing just $12.99 a month – but Disney cannot sustain this cutthroat price for long. An operating loss of $553 million plagued Disney’s direct-to-consumer division during Q2, directly linked to the upcoming OTT video service. But why is everyone so surprised? Even CEO Bob Iger described the results as “difficult to explain”. Leave it to us. Our Disney streaming coverage has consistently highlighted how there is so much riding on the launch of Disney+ that any technical flaws will…

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