Last Updated on: 22nd November 2023, 03:42 pm
As streaming numbers decline, Disney says sequels to Toy Story and Frozen are on the way
By Monica MillerBBC NewsDisney chief executive Bob Iger has announced sequels for Toy Story, Frozen, and Zootopia as he details plans to turn around the streaming business.
Disney’s animation studio is working on sequels, according to Iger.
Since Disney+ launched in 2019, the company has seen its subscriber numbers fall for the first time.
In a major shake-up of the entertainment giant, Mr Iger said he would cut 7,000 jobs.
Mr Iger discussed his plans to monetise some of the company’s biggest franchises on a call to investors.
We are working on sequels to some of our most popular franchises, including Toy Story, Frozen, and Zootopia.
“We will have more to share about this production soon, but this is a great example of how we’re leveraging our unrivalled brands and franchises.”
Approximately 3.6% of Disney’s workforce worldwide will be cut as part of its plan to save $5.5bn (£4.5bn) and make its Disney+ streaming service profitable. Mr Iger said the decision was not taken lightly.
During the company’s latest quarterly report, his first since returning to Disney in November, he announced the changes.
According to him, the company’s streaming service remains its top priority.
As a result of the announcement, Disney’s share price rose by more than 5% in after-hours trading.
According to JM Finn’s Freddy Colquhoun, Disney has been struggling to make its streaming business profitable over the last year or so.
However, he said the results “were actually really reassuring” and exceeded expectations.
Activist investor Nelson Peltz criticised Disney’s streaming business for overspending in recent months. Disney’s changes address some of his criticisms.
Mr Peltz’s Trian Group responded: “We are pleased that Disney is listening.”
In less than a year after retiring, Mr Iger returned as Disney’s chief executive.
As Disney+ continued to lose money and its share price plummeted, he was brought back to lead the company through turbulent times.
In February 2020, Mr Iger replaced Bob Chapek as Disney’s chief executive. He had led the company for 15 years.
After Disney’s streaming business posted a $1.5bn quarterly loss, Mr Chapek resigned.
Within 24 hours of returning to Disney, Mr Iger announced a major shake-up of the company.
According to him, he had tasked executives with designing “a new structure that puts more decision-making in the hands of our creative teams and rationalises costs”.
