Disney stock jumped 10% in early trading on Friday, to a record high of $128, one day after the Mouse House revealed its upcoming $7-per-month streaming service.
Netflix’s stock on Friday morning, meanwhile, dipped 3.3%, with many analysts now seeing the upcoming Disney+ streaming service as its chief competition.
Disney, led by CEO Bob Iger and a slew of other executives, walked investors through its new service, dubbed Disney+, in a nearly three-hour investor presentation on Thursday afternoon. There was a lot to cover.
Not only did the service’s $7 monthly price tag — or $70 for the full year — live up to Iger’s 2017 declaration it would be priced “substantially below” Netflix, the reigning streaming champ, Disney also revealed it would invest $1 billion in original content for the service in the next year.