The beginning of the No-Netflix era for Disney has officially come within reach.
Captain Marvel which will be released on March 8, will be Netflix's first title and instead postponed for Disney +, the high-profile streaming service by the end of 2019, CEO Bob Iger confirmed on Tuesday. CFO Christine McCarthy estimated that the short-term opportunity that would result from this and other releases in 2019 would reduce operating income by approximately $ 150 million.
Executives asked the guidance during a conference call from Disney with Wall Street analysts to discuss the company's improvement. than expected figures for the first quarter. They promised more clarity on April 11
"What we basically try Here we invest in our future," he said. The steps the company has taken are "all designed to make this business an integral part of Disney's bottom line over the long term." As the company suffers losses, there will be additional royalties each quarter on: "It It's almost the equivalent of capitalizing on the construction of our theme parks, "said Iger. "This is a bet on the future of this business."
AT & T's WarnerMedia also has a subscription strategy, but raised its eyebrows last December by extending its non-exclusive rights to Friends and earning $ 100 million. AT & T boss Randall Stephenson had stressed that the company would not apply a "cookie cutter approach" to the licensing decision.
Iger's claim made it appear as if Disney wanted to make a more comprehensive commitment. which could be tested with shows such as Gray's Anatomy a multi-year draw on Netflix, where even Disney ABC has conceded that it built its following. "In terms of deciding where to go for content," said Iger, "since we are betting on this long-term bet, we obviously need to fill it with intellectual property."
On the tech front, Iger said rampaging experience ESPN + was a big help, especially during a recent promotion of UFC fights.
"What we've learned is extremely valuable when it comes to future launches like Disney +, the BAMtech platform Buying BAM has invested in a very robust platform that not only scales several streams simultaneously, but also one Iger.
During the UFC promotion process, the system processed 15,000 minute transactions per transaction without downtime, Iger added.
As the company settled on the time of Disney + and his Both streaming cousins ESPN + and Hulu (of which Disney will soon be owned 60%) moved, Iger said the goal was to respect the traditional windo ws, at least initially.
While some analysts on Wall Street and Industry insiders have questioned Disney (and its fellow media outlets) ability to compete against Netflix's $ 15 billion war chest, Iger suggested an optimistic tone on the cost front.
"We have talent-both leadership and production relationships-that enable us to scale well and not invest too much in overhead," he said.
The company has a launch date for Disney has not been announced.
Another topic in the bidding process was the integration of 21st Century Fox assets. With the deal still underway, Iger remained pretty squeamish about strategy, including Hulu.
A treat that will warm the hearts of Deadpool groupies was a repeat of the comments Iger has recently made in 2017. He assured Wall Street (and the industry and fans by extension) That R-Rated superhero films, including future deadpool rates, would be welcome. "We will continue in this business," he said. "There is certainly a popularity" to current Fox titles such as Deadpool and Logan . They are published under a yet to be determined banner.
In a similar vein, Iger said FX-TV titles would strongly affect the company's strategy, but would not be prone to Disney +, as they are generally not family-oriented in nature.