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Disney announced its Q1 2023 earnings with a total of 161.8 million Disney+ subscribers, a decrease of 2.4 million from the previous quarter.
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The drop in subscribers was mainly driven by a decrease in Disney+ Hotstar subscribers, with a decline of 3.8 million.
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Disney+ gained 200,000 domestic subscribers in the U.S. and Canada.
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The results question Disney+'s 2024 target of reaching 215 million-245 million subscribers by 2024.
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CEO Bob Iger announced during the earnings call that Disney will no longer provide subscriber addition guidance.
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The subscriber loss is partly attributed to the increase in the subscription price of Disney+ ad-free plan to $11 per month.
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Hulu and ESPN+ had a decent quarter, gaining 800,000 and 600,000 subscribers, respectively.
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Disney reported an increase in revenue for the quarter, beating expectations with $23.51 billion.
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Disney is planning a significant restructuring including job cuts, affecting 7,000 employees.
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There are rumors that Disney may be exploring the sale of licensing rights for its films and TV series to its competitors.