Disney to crack down on password-sharing after CEO Bob Iger wins board fight
NY Post
Walt Disney’s streaming service will start cracking down on password-sharing from June, Chief Executive Bob Iger said Thursday, as the entertainment conglomerate looks to boost subscriber growth and make the business profitable.
Iger also signaled a need for consolidation in the streaming industry and said Disney was “eventually” looking at double-digit margins for the business, in a wide-ranging interview with CNBC.
Streaming rival Netflix’s password-sharing crackdown had helped it add nearly 22 million subscribers in the second half of 2023 and shatter Wall Street expectations.
The interview came just a day after Disney investors backed Iger and other company directors, defeating a campaign by activist investors including Nelson Peltz who argued that Disney had underperformed in the streaming-television era.
“The proxy vote was a decisive, true endorsement of the board,” he said, noting the company was taking the topic of CEO succession – a key concern of shareholders – “very seriously.”
The win strengthened Iger’s hand at a crucial time. Disney is trying to reinvigorate its film and television franchises, make its streaming unit profitable and find partners for building sports network ESPN’s digital future.