Subscribers to Disney+ will see their rates increase later this year, but the streaming service is also adding a new ad-supported option.
Disney announced Wednesday the ad-free version of Disney+ will increase from the current $7.99 per month to $10.99 per month effective Dec. 8. At the same time, it will introduce an ad-supported version of the platform available for $7.99.
The price hikes also apply to other Disney-owned streaming services. A monthly subscription to ESPN+ will increase from $6.99 to $9.99 on Aug. 23.
A monthly subscription for Hulu’s ad-supported option will increase in price from $6.99 to $7.99, while the ad-free version will increase from $12.99 to $14.99.
Changes to Hulu’s pricing are effective Oct. 10.
In a statement, Disney Media and Entertainment Distribution Chair Kareem Daniel said the changes will allow for a wider “variety of price points” for customers to choose from.
“With our new ad-supported Disney+ offering and an expanded lineup of plans across our entire streaming portfolio, we will be providing greater consumer choice at a variety of price points to cater to the diverse needs of our viewers and appeal to an even broader audience,” Daniel said.
Disney will also increase prices for its bundle options, which include multiple streaming services in one package. Ad-free Disney+, bundled with ad-supported Hulu and ESPN+, will increase from $13.99 per month to $14.99 per month.
At the same time, Disney introduced a new option to bundle ad-supported Disney+ and Hulu for $9.99 per month, while adding ESPN+ to bundle will bring it to $12.99.
The price changes will affect Disney’s more than 152 million streaming subscribers. According to IndieWire, Disney added 14.4 million subscribers in its third quarter, which went from April to July of this year.