Didn’t they just start turning a profit, a year ahead of schedule?
Video streaming is not cheap, but at their scale, they can negotiate the best peering deals or setup edge boxes a la Netflix or YouTube. Then again, maybe it is their core audience which has a different usage pattern from adults. I might watch one show a night. A child might stream for 12 hours a day.
Unless Disney went on a spending spree and bought a big number of new movies+shows to publish on the platform, I am surprised. Disney bought Hulu- they could piggy back off of all that existing infrastructure.
I... have no idea.
> I find it wild that it is not profitable.
The news was that it is profitable now, and sooner than expected.
> Unless Disney went on a spending spree and bought a big number of new movies+shows to publish on the platform, I am surprised.
They did—they've had a number of Disney+ originals. And the streaming rights for Bluey probably wasn't cheap, given its popularity (and iirc it alone is like 25% of their streaming traffic).