Disney raises subscription fee by 38%

The Walt Disney Company announced on Wednesday that it is raising the price of its flagship Disney streaming service by 38%, with an aim to generate more revenue for its money-losing online businesses.

An ad-free subscription to Disney will cost $10.99 a month or $109.99 a year in the US starting in December, up from its current cost of $7.99 a month.

The Disney-owned Hulu will also raise prices for all of its subscribers.

The ad-supported tier, which currently costs $6.99 a month or $69.99 a year, will go up to $7.99 a month or $79.99 a year.

The firm also said it is planning to reveal an ad-supported version of the flagship streaming service.

Bob Chapek, the CEO of the Walt Disney Company, said: "We had an excellent quarter, with our world-class creative and business teams powering outstanding performance at our domestic theme parks, big increases in live-sports viewership, and significant subscriber growth at our streaming services."

In its financial results statement the company said revenues for the quarter and nine months grew 26% and 28%, respectively.