In a strategic move, Bob Iger, the CEO of Disney, expressed the company's commitment to the Indian market despite a setback for Disney+ Hotstar, which witnessed a loss of 2.8 million subscribers in the quarter ending September 30.
The streaming service reported a decline from 40.4 million subscribers in Q2 to 37.6 million subscribers in Q3 in India this year.
During an interaction with analysts following the quarterly results, Iger highlighted the resilience of Disney's linear business in India, emphasizing that it continues to perform well despite the challenges faced by the streaming platform.
This commitment signals Disney's determination to navigate the dynamic landscape of the Indian market and explore avenues for growth and sustainability.
“Yes, it's making money. But we know that other parts of that business are challenged for us and for others. And we are looking, I'll call it expensively,” he told analysts.
“I know I've said this before, it always gets me in trouble. But we're considering our options there. We have an opportunity to strengthen our hand. It is now maybe the most populous country in the world or maybe just still second to China and about to pass them,” Iger told analysts.
Bob Iger, Disney's CEO, made it clear that the company is keen on maintaining a presence in the Indian market despite the challenges faced by Disney+ Hotstar.
Despite a dip in subscribers for the streaming service, Iger emphasized the company's interest in the Indian market, underlining a long-term commitment to navigate and contribute to the dynamic media landscape in the region.
“But we're also looking to see whether we can strengthen our hand and obviously, improve the bottom line. In terms of advertising, we are actually finding that linear is a little bit stronger than we had expected it would be. It's not back as much as we would like,” he added.
“It's still a challenge, but it's not as bad as it had been. So, we've seen some slight improvement. Actually, the tech sector is still somewhat weak. But in general, overall, advertising has improved,” the CEO noted.
The streaming of the 2023 ICC Men's Cricket World Cup on Disney+ Hotstar is poised to boost the subscriber base of the platform during the ongoing festive quarter in India.
This strategic move aligns with the broader global trends for The Walt Disney Company, which reported a 5 percent growth in revenues for the quarter and a 7 percent growth for the year.
The success of Disney+ continues to unfold, with the addition of nearly 7 million core subscribers in the latest quarter.
The combination of premium content, including live sports events like the ICC Men's Cricket World Cup, contributes to Disney+'s appeal and its ability to attract a diverse audience globally.
(With Agency Inputs)
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