Netflix, Roku, Disney stocks drop after Apple TV+ insanely low price is revealed

Shares of Netflix, Roku, and Disney fell sharply on Tuesday, after Apple announced its long-awaited Apple TV+ subscription service would cost just $4.99 per month…

Javier E. David for Yahoo Finance:

Both Netflix and Disney saw their stocks tumble. The latter’s upcoming streaming platform is priced at $6.99, while Netflix’s runs from $8.99 up to $15.99. Netflix ended the session down over 2% around $288, while Disney also shed more than 2% to $136. Meanwhile, streaming content provider Roku swooned by around 11% on the TV+ news.

Wedbush analyst Dan Ives called the platform’s pricing “a major shot across the bow” at competitors, including Netflix and Disney. Wall Street “was anticipating a $7.99-$9.99 price point as clearly Cupertino is looking for market share coming out of the gates with these surprising price points that we loudly applaud,” he added.

MacDailyNews Take:

7 Comments

  1. AT $4.99 it’s surprisingly priced appropriately… given the paucity of content. It has an uphill battle to fight and has to prove itself. I’m surprised Apple is charging only $4.99 and figure they’d count on a higher number. Disney+ OTOH has the HUGE advantage of content.

    1. It’s a good thing they plan on giving a year free for purchases of new devices. Even at $4.99 the service may not hold on to subscribers for more than a couple months otherwise with the amount of content they hold now. Disney+ at even $2 higher per month still has the advantage IMO.

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