Disney BANS rival Netflix from running ads on ABC and its other networks as the family entertainment giant prepares to enter the streaming war
- Walt Disney Co has reportedly banned rival Netflix from advertising on ABC
- Disney is set to launch its video streaming service ‘Disney+’ on November 12
- Apple and AT&T are also set to launch services in the streaming war
Walt Disney Co is banning advertising from Netflix Inc across its TV networks, according to a new report.
Disney, which owns ABC and cable channel Freeform, banned Netflix from running ads on its properties as it prepares to launch a new video streaming service Disney+ on November 12, people familiar with the matter told the Wall Street Journal.
Disney told its employees earlier this year that it would not accept ads from any rival streaming services but later compromised with almost every service except Netflix, the report said.
In a statement, Disney said the subscription streaming-video business has evolved, ‘with many more entrants looking to advertise in traditional television, and across our portfolio of networks.’
Disney, which owns ABC and cable channel Freeform, reportedly banned Netflix from running ads as it prepares to launch new video streaming service Disney+ on November 12
The company said it re-evaluated its initial blanket ban on streaming ads ‘to reflect the comprehensive business relationships we have with many of these companies.’
Netflix declined to comment when reached by DailyMail.com.
Disney’s hardball tactics are the latest move in the streaming war, with new services from Apple and AT&T planning to compete with existing offerings from Hulu, Amazon, HBO and more.
Apple’s move to offer a free TV+ subscription for a year with every new device may briefly crown the iPhone maker as the biggest streaming service by user numbers, leapfrogging Netflix.
Under the company’s plans announced last month, any purchaser of an iPhone, Macbook, iPad, or iPod Touch will now get the Apple TV+ streaming service free and will be charged $5 a month only if they decide to continue after the year is over.
The Netflix logo is seen in a file photo. Netflix will have to contend with several new entrants in the streaming space in coming months
After a year, though, all bets will be off, with Apple facing the same need for fresh shows to make subscribers pay, which drove Netflix to sink a reported $12 billion into new programming last year.
Analysts say the crowded field will change the nature of a business where the relatively limited number of services meant users rarely had to choose.
Whereas Netflix in the past took content from a wide range of studios and networks, now many of them will have their own streaming services and keep franchises like, for example, Disney’s Marvel cinematic universe, to themselves.
Launching on November 1 in 100 countries, Apple TV+ promises to launch a new show every week and has already announced drama ‘See’ starring Jason Momoa, ‘The Morning Show,’ with Reese Witherspoon and Jennifer Aniston, and ‘Helpsters,’ a children’s series from the makers of ‘Sesame Street.’