With streaming services piling up and costs rising (you can now add Disney+ to your list of monthly bills), the original promise has lost its luster.
The Enchanted Storybook Castle at Shanghai Disneyland in 2017. The company hopes to turn streaming into a shiny promised land. But the platform's reality is anything but. By Steven Zeitchik and Steven Zeitchik Reporter covering the business of entertainment in the U.S. and beyond Email Bio Follow Craig Timberg Craig Timberg National reporter covering technology Email Bio Follow April 13 at 3:10 PM BURBANK, Calif.
The other side, including Moffett, says the outcome was inevitable for a range of predictable reasons: Americans want the best, coolest shows, and these cost a lot of money in actors, set costs, big-name directors and special effects. Even for a television show, these expenses can run into the millions of dollars per episode.
In other words, as television consumers pared back on cable packages, they spent more on Internet. This hurt satellite television companies, but relatively few actual cords got cut. And many of those that got cut were replaced by new cords from other companies, with bills of their own, not to mention the ones from streaming services that delivered the actual shows, movies and sporting events.
“Everything is about funding, a way to make people pay more money,” Wu said. “The incentives are to have streaming be as bad a deal as cable already was.”
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