Approximately 26.5 million households subscribed to Disney's (NYSE:DIS) new flagship video-streaming service within the first seven weeks of launching. It's added another 2.1 million since the start of the year, management says.
Analysts had been expecting a big number from Disney after it initially reported 10 million sign-ups on day one, which includes presales and free trials, and third-party reports showed continued growth in downloads and in-app spending. But 26.5 million exceeded even the highest expectations. Last month, Rosenblatt Securities analyst Bernie McTernan estimated Disney had signed up about 25 million subscribers by the end of 2019.
Not only was Disney+ a success, but the new bundled offering combining the flagship streaming service with ESPN+ and Hulu has been popular as well, which bodes well for subscriber retention.