INTERNATIONAL - Netflix Inc gave a weak forecast on Tuesday that unnerved investors just as Walt Disney Co and others prepare to escalate Hollywood’s streaming video wars, although the company’s quarterly results beat Wall Street targets.Netflix predicted it would pick up 5 million new streaming subscribers from April through June. That was below the 5.48 million consensus of industry analysts surveyed by FactSet.
The just-ended first quarter included the debut of original dramas “Sex Education” and “Russian Doll,” and the company raised prices in the United States, Mexico and Brazil. The company said it signed up 1.74 million paid subscribers in the United States in the quarter, above the average analyst estimate of about 1.57 million, according to IBES data from Refinitiv.
Disney is viewed as one of Netflix’s strongest rivals thanks to a broad portfolio of franchises popular with children - from Mickey Mouse to Marvel and Star Wars - and a brand trusted by parents. Last week, Disney priced its service at $7 per month, just over half the $13 price for Netflix’s most U.S. popular plan. The Disney+ service will launch in November.
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