disney2

Gameday for Disney to Boost ESPN Growth

Disney continues to grow cable revenue despite subscriber declines.

How are they able to do this?
1)
Increase per month cost for channels like ESPN
2) Add provisions in contracts with cable companies that stipulate a minimum number of packages that must carry ESPN

The average annual price increase for ESPN is 5%.

Example scenario:
1)
Subscriber growth — ↓ 2%
2)
Monthly subscription cost — ↑ 6%
3)
Total fee revenue — ↑ 4%

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