Free one-year access to Disney Plus could create trouble for Netflix

A free one year of Disney’s new video streaming service is being offered by Verizon. The offer is applicable to both new and existing Verizon customers. The monthly subscription to Disney Plus video streaming service costs $6.99. So, Verizon's offer includes benefits worth nearly $84. Disney Plus service will mark its debut on November 12. Given Verizon's user base, this will potentially offer millions of people complimentary access to Disney Plus, which a highly anticipated streaming service. Disney Plus will feature films from Disney, Pixar, Marvel, Star Wars, National Geographic. It will also give users access to some of the popular TV series, such as “The Simpsons.”

Huge trouble ahead for Netflix?

Disney Plus plans to release more than 25 original series and 10 original films and documentaries in its first year, including a remake of “Lady and the Tramp.” This could make things more difficult for Netflix, which has amassed 158 million subscribers since launching its streaming service 12 years ago, to compete with Disney Plus. Similar to Netflix, other streaming services including Apple are also offering free introductory periods in an attempt to ensure early exposure to a big audience. Apple is offering a free year to its new streaming service, scheduled to debut Nov. 1, to anyone how purchases an iPhone, iPad or Mac computer.

Comcast plans to give away its upcoming Peacock streaming service to its cable-TV customers. And AT&T, which will launch HBO Max next year, today throws in HBO free for wireless customers on unlimited plans. Netflix also teams up with T-Mobile to offer free service to its streaming service. Apple also is charging only $5 per month for its service in an attempt to undercut Netflix, whose most popular plan costs $13 per month.

READ | Is Netflix losing popularity amid looming threats from Apple, Disney?

Subscriber growth for Netflix continues to plummet

Subscriber growth for Netflix continues to plummet ahead of competition from Apple and Walt Disney. Recently, Netflix released its quarterly results and the numbers showed a significant drop in subscriber growth, particularly in the US. Between July 2019 to September 2019, Netflix added 6.8 million subscribers worldwide, as opposed to 7 million that Netflix anticipated.

(With AP inputs)