On the wall street currently the major movie streaming company Netflix is not performing well because of its rival’s entry. Recently Disney launched its much-awaiting movie streaming service called Disney+ which so far has beaten Netflix in many ways. After the report came out in public shares of Netflix dropped significantly, and it has lost more than $8 billion in market capitalization. Disney+ is going to be available for the public in a few months, but one thing which shocked everyone is that Disney is giving its membership for just $7. Disney is that company which already has a massive amount of rights of the movies in its possession, so it’s no surprise that they have decided to provide its service at such low cost.
Investors on the wall street are seemed to be in a dilemma, and that’s why shares of Netflix have gone down. A few days ago reed Hasting in an interview said that he is not worried about competitors, but now it seems as he should. Netflix a few days ago decided to increase the price of its subscription and now a customer will have to pay $11 a month to enjoy movies and TV shows. It’s been expected that with so much popularity Disney has got it will be able to fetch many more subscribers at the starting months.
Netflix is undoubtedly having a monopoly over movie streaming business, but still, the company is burning a tremendous amount of money to produce those movies and TV shows. Netflix has invested millions of dollars in upcoming project, but since the arrival of Disney, some business analysts are worried about Netflix’s monopoly. Disney+ is going to go live from November 12 and people will be able to enjoy this new platform for streaming movies and TV shows.
Carolyn is a technology graduate and loves to write about anything related to technology as well as writes in others sectors. Carolyn is a professional writer with over 7 years of experience. Initially starting off as a programmer, Carolyn decided to combine her knowledge about technology and writing and that’s how she joined Reporter Expert.