Disney will yield $11.2 billion, or 19%, of its total sales from direct-to-consumer revenue this year, driven primarily by its new Disney+ and now majority-owned Hulu streaming services, estimates Macquarie Research in a new report.
That percentage reflects Disney's investment in driving Disney+'s remarkable growth in subscribers -- up to more than 60 million since its launch last fall -- but also the reality that Disney's core businesses have been particularly hard-hit by the COVID-19 pandemic.
Macquarie projects that Lions Gate Entertainment, thanks to its Starz streaming platform, will come in a close second to Disney in terms of percentage of total revenues from D2C/streaming: 18%.
The D2C/consumer streaming revenue projections for other big traditional entertainment conglomerates are far lower: ViacomCBS and AMC are each estimated to garner 6% of total revenues from D2C this year, followed by Discovery at 5%, Fox with 2% and Comcast at 0%, according to Bloomberg’s summary of the report.
Fox sold most of its entertainment assets to Disney last year, and Comcast’s first big venture into streaming, Peacock, was launched nationally only last month, notes Bloomberg.