Disney has announced that it will pull its movies out of Netflix and start two exclusive streaming services for its content.
The ESPN streaming service will launch early 2018, while the streaming service for Disney movies and TV shows is scheduled for release in 2019 in the US, with plans to expand globally.
“The new Disney-branded service will become the exclusive home in the U.S. for subscription-video-on-demand viewing of the newest live action and animated movies from Disney and Pixar, beginning with the 2019 theatrical slate, which includes Toy Story 4, the sequel to Frozen, and The Lion King from Disney live-action, along with other highly anticipated movies,” the company said in a statement.
So far, the pullout only included content from Walt Disney Studios. The rights of movies from Lucasfilm and Marvel have not been decided yet.
Netflix maintained that this change would not apply to Australia or other markets. “Our business isn’t affected outside the US,” the company said in a statement. However, this might change with Disney’s expansion to other countries.
To support the service, Disney is purchasing a majority ownership of streaming video company BAMTech. Disney had owned 33 per cent of the company as per August 2016.