Warner Bros. Discovery CFO calls company's HBO Max and Discovery+ 'underpriced,' suggesting price hikes may be coming

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Warner Bros. Discovery CFO says company's streaming services are 'underpriced'

for Disney+, ESPN+ and Hulu last month, including bumping the price of Disney+ without ads from $7.99 per month to $10.99 per month.

Warner Bros. Discovery set new streaming subscriber targets last month, including targeting 130 million global subscribers by 2025. The company also reaffirmed its expectation for its streaming business to break even by 2024 and yield $1 billion in profit by the end of 2025. Warner Bros. Discovery isn't chasing subscriber growth at all costs, said Wiedenfels. That change — to prioritize profitability over growth — allows the company more "pricing power" over its streaming businesses, said Wiedenfels.

"We're not optimizing for subscribers," said Wiedenfels, who called that type of strategy "old-world streaming" thinking.WATCH: Warner Bros. Discovery punts two sequels as company looks to cut costs

 

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Zero interest in Discoveries reality TV BS. That will be a good time to quit the service.

Nobody asked for these services to be combined. So he can go kick rocks with the underpriced bit. 🙄 How about you keep the services separate.🙄😯😟

Geeeee people who stand to gain even more money saying something is underpriced....surprise! Not...

Ah, the Netflix model. Cancel tons of programming and raise prices. A winning combination!

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Warner Bros. Discovery CFO Calls Company's HBO Max and Discovery ‘Underpriced,' Suggesting Price Hikes May Be ComingWarner Bros. Discovery plans to combine HBO Max and Discovery next year, which could give the company a chance to reset pricing for its streaming service.
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