Disney’s latest earnings reveal a turning point: its streaming platforms, including Disney+, Hulu, and ESPN+, are now poised to surpass the profitability of traditional TV.
For fiscal 2025, streaming is expected to generate enough income to offset linear TV’s decline, with projected direct-to-consumer operating income up $875 million year-over-year.
The company’s entertainment streaming division already posted $321 million in Q4 operating income, a sharp contrast to last year’s $2.5 billion loss.
Disney’s strategic balance between content spending and subscriber growth underscores streaming’s potential as a long-term TV alternative, countering skepticism from industry observers like Warren Buffett.
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