(Reuters) – Walt Disney Co’s sports streaming platform ESPN+ plans to raise its monthly subscription fee by $3 a month, a 43% hike, Variety reported on Friday.
The price of an ESPN+ subscription will rise to $9.99 per month starting Aug 23, according to the report, while the cost of an annual subscription will go up to $99.99 from $69.99. Subscribers will be notified next week, the report added.
Shares of Disney rose nearly 3% in afternoon trading.
ESPN+ last hiked its monthly and annual subscription fees in the United States in July last year.
Disney was not immediately available for a comment.
Media companies have been searching for new ways to generate more revenue amid reduced ad spending and strong competition in the congested streaming market, with Disney betting on a strong comeback from live-sports streaming from a pandemic-led lull.
Netflix Inc, on the other hand, teamed up with Microsoft Corp for its planned ad-supported subscription offering, as it looks to plug slowing subscriber growth by rolling out a cheaper plan.
(Reporting by Tiyashi Datta in Bengaluru; Editing by Krishna Chandra Eluri)
