Disney and Apple are experiencing a rift in their long-standing relationship. Disney has decided to no longer allow new customers to sign up for Hulu or Disney+ via Apple’s App Store. This move follows complaints by Disney CEO Bob Iger about the fees associated with the store.
Apple takes up to 15% of the monthly fees generated by services like Hulu and Disney+ when users sign up through the App Store. Iger has publicly voiced his dissatisfaction with this arrangement. “We have to look at the way we’re distributing,” Iger stated.
“Unlike Netflix, we distribute largely through third-party app stores.
Disney shifts subscription strategy with Apple
There’s obviously an advantage to that to some extent, but there’s a cost to that, too.
And we’re looking at that.”
Though Disney and Apple continue to collaborate on certain projects, the decision to remove new subscription sign-ups from the App Store marks a clear shift in their business relationship. Disney has agreed to create apps and experiences for Apple’s Vision Pro headset, showing that some partnership efforts remain. The relationship between Disney and Apple has deep roots, dating back to key business dealings in the mid-2000s.
Steve Jobs, Apple’s co-founder, became Disney’s largest shareholder after Disney acquired Pixar in 2006. Iger later joined Apple’s board following Jobs’ death in 2011, further intertwining the two companies. Reps for both Disney and Apple have declined to comment further on this development.
While Disney’s exit from Apple’s App Store for new subscriptions represents a departure from their historically tight collaboration, it also underscores the evolving dynamics in the partnership between two of the world’s most influential companies.
