Disney is set to outspend Netflix, Warner Bros and Amazon on new films and TV productions in the coming year, announcing an $8bn increase in spend.
With the considerable caveat that things might change should Covid-disruption rear its head in the manner it has in the past, it’s been revealed that Disney is set to spend a record amount on – here comes that word – ‘content’ in the year ahead.
The fiscal year that began on 1st October will see the entertainment giant invest $33bn in making shows, films, putting on sports coverage and other such material over the course of the coming 12 months. That’s an increase on $25bn from the year just gone.
The investment is, as you might expect, heavily directed towards its streaming platforms. In the UK, Disney+ is the one we have access to, but in the States there’s also Hulu and sports broadcaster ESPN+. And these are all monsters that need to be fed.
Where Disney won’t be increasing its spend is in making films for cinemas. That’s going to stay level, primarily centred around Pixar, Walt Disney Animation Studios, Marvel, and live action takes on family movies. That said, it does have an aim of releasing 50 new films in the coming year. The bulk of those will debut on its streaming platforms of course, but still, that’s quite the commitment.
But then it’s up against stiff competition. Netflix, which only has its streaming service to shuffle material towards, is estimated to be spending north of $14bn. When WarnerMedia completes its merger with Discovery (the biggest entertainment company deal since Disney bought up Fox), that’s going to involve spending at least $20bn in its first year alone.
It’s a high stakes game, and the vast levels of investment involved in constantly generating material mean the barriers to entry are also ridiculously high. It’s not even worth trying to compete now unless you’ve got a spare ten billion tucked down the back of the sofa.
On the Disney menu, as well as those aforementioned films, are 60 unscripted series (reality stuff, primarily), 25 new drama shows, 15 docuseries, 10 animated productions, and made for TV features. But a good chunk of that $33bn is also understood to have been eaten up by sports rights, something – for now – the likes of Netflix doesn’t have to worry about.
Given that when Disney+ launched, the initial criticisms were to do with the small amount of original material on the platform, it’s clear the company isn’t going to be caught out like that again. It might be a good time for those with a good idea in their back pocket for a show to get themselves an agent…
