Content Spending Levels at Top Entertainment Companies: 2021 Projections

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New VIP+ Analysis: Growing content budgets help explain why companies feel pressured to scale up to succeed in the video streaming market.

films set to skip theaters for Disney+ like “Pinocchio” featuring Tom Hanks and “Peter Pan and Wendy” featuring Jude Law.The company will spend roughly $7.5 billion on sports rights in 2021 and $43 billion on these rights from 2021 to 2025, Wells Fargo estimates. That expense, which

the reported annual $175 million expense ESPN is incurring for La Liga rights, ultimately helps make ESPN+ more attractive.And ESPN+ becoming more attractive increases the attractiveness of the Disney+ bundle that includes the ESPN streaming service and Hulu. Disney doesn’t make it clear how many of its DTC subs are on a bundle plan, but Antenna data from April suggests many U.S. consumers only have access to ESPN+ because its available in a bundled deal.

Speculation is always rampant that Apple will make a big acquisition to get ahead in the video streaming market , but it doesn't seem certain, at least for now, that Apple will scoop up a studio like Amazon just did.

 

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