Disney to Fully Integrate Hulu into Disney+ by 2026: What It Means for Users
The Walt Disney Company's CEO, Bob Iger, announced plans to "fully integrate" Hulu into the Disney+ app by 2026. While Disney representatives suggest that standalone Hulu subscriptions will remain available, this move raises questions about Hulu's future.
A seamless app combining Disney+ and Hulu's catalogs, recommendations, and profiles may render a standalone Hulu app unnecessary. This integration could lead some to speculate whether the entire Hulu business might become redundant, as both services become combined under one platform.
Reports suggest the Hulu app might be phased out next year, but this change is not yet certain. Disney hasn't confirmed whether it plans to discontinue the standalone Hulu app or service.
During a recent earnings call, MoffettNathanson analyst Robert Fishman inquired about the impact of app integration on Hulu's future. Iger emphasized the improved consumer experience as a result of combining the two apps. He believes this will enhance user experience by merging program assets, potentially lowering churn rates.
I think the way to look at the combination is to start with the consumer. You're going to end up with a far better consumer experience when those apps are combined by combining all of the program assets of both apps... And obviously with an improved consumer experience comes the ability to lower churn, which is obviously something that we're very, very focused on and committed to doing."
Disney began integrating Hulu into Disney+ in March with a dedicated tile, allowing users to access Hulu content through the Disney+ app. This initial integration required significant technical adjustments, including modifying login tools, advertising platforms, and personalization systems.
Disney's acquisition of Comcast's remaining stake in Hulu, at a cost of about $9 billion, signifies a committed investment. With the updated app arriving in 2026, Disney aims to enhance profitability by increasing engagement, reducing subscriber turnover, boosting advertising revenue, and improving operational efficiencies.
Despite these plans, Disney acknowledges Hulu’s existing value. According to their Q3 2025 earnings, Hulu maintains 55.5 million subscribers, though smaller compared to Disney+’s 127.8 million subscriber base, indicating a risk in terminating Hulu subscriptions.
The current pricing structure offers individual subscriptions at $10 per month each, while combined Disney+ and Hulu subscriptions are priced at $11 per month, creating incentives to bundle services and reduce churn. The bundling strategy has proven effective in maintaining subscriber bases in the streaming industry.
Additionally, Hulu generates a higher monthly revenue per subscriber than Disney+. This financial factor, combined with Hulu’s Live TV offering and its distinct content library, suggests strategic reasons to retain the Hulu brand. Furthermore, globally, Disney plans to present Hulu as the "general entertainment brand" within Disney+.
In conclusion, while Disney’s integration strategy may eventually transition Hulu users to Disney+, the Hulu brand remains valuable. As the streaming landscape evolves, Disney's operations provide insights into potential future mergers and acquisitions.
