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Disney Considers Free Ad‑Supported Tier for Disney+

The proposal aims to convert nonpaying viewers into ad revenue as free platforms grow.

Overview

  • Disney product chief Adam Smith raised the idea of a free Disney+ tier during an internal streaming town hall on Thursday, July 9.
  • Company spokespeople have not confirmed any launch, timeline, or which shows would be included and the plan remains exploratory.
  • Reporting says a likely model would be ad‑supported with a limited library while keeping marquee franchises such as Marvel and Star Wars behind the paywall.
  • The push responds to growing competition from free services and data showing free streaming took about 18.7% of U.S. watch time in April 2026, and it builds on recent Disney+ product experiments like vertical clips and curated channels.
  • If adopted, the free tier could widen Disney’s audience and ad revenue but could also risk cannibalizing paid subscribers, so watch for decisions on ad load, content selection, and an official company announcement.