Disney considers free ad supported streaming

Disney is actively exploring the launch of a free, ad-supported streaming tier, a significant strategic shift as the company seeks to expand its audience and accelerate advertising revenue. CEO Josh D’Amaro confirmed the consideration during the company’s quarterly earnings call on Wednesday, August 5, 2026, stating that while there is nothing specific to announce, a free offering is "definitely something that we’re considering."

According to D’Amaro, the potential free tier, often referred to as a FAST (free ad-supported streaming television) product, is designed to achieve multiple goals. Primarily, it would serve to reach more price-sensitive consumers, a demographic that has increasingly turned to free streaming services. He also noted that, unlike many competitors in the advertising-based video on demand (AVOD) space, Disney’s current ad inventory is "fairly well sold," meaning that adding more viewers through a free tier would directly help accelerate the company’s ad revenue growth. Finally, D’Amaro framed the offering as a potential funnel to drive new subscribers to its premium Disney+ and Hulu services.

The exploration comes amid a broader industry trend where free...