Iger said that Disney was "obviously very excited" about bringing 21 Century Fox content to the new service once the acquisition of Fox's entertainment assets closes, but added that the company remained "incredibly supportive and enthusiastic" about theatrical distribution of movies.
The cost to build streaming services contributed to a profit decline at Disney's media networks, the company's largest unit, in the quarter.
"We want to walk before we run when it comes to volume of content", Disney CEO Bob Iger told Variety, also hinting that the service will initially undercut Netflix's subscription cost. Disney parks and resorts reported yet another strong quarter, with revenue increasing 6% to $5.2 billion.
The move came after US cable giant Comcast offered $65bn in cash for the assets, which include 20th Century Fox - the Hollywood film studio behind hits such as Avatar, X-Men and Ice Age - US cable TV networks including FX and National Geographic and global pay television assets including Star TV in India. After that, though, all future Marvel Studios superhero films will stream exclusively on Disney's still unnamed service. Disney's television networks also saw gains, including at ESPN, despite the higher National Basketball Association costs and lower advertising revenue. "Disney", Bloomberg notes, "sold certain rights to Turner in 2016, before it completed plans for the streaming service". As per the New York Times, Disney is allowing its licensing deal with Netflix to expire, meaning that, starting with the release of Captain Marvel next year, all Walt Disney Studios releases will move from theaters to the company's streaming platform instead of Netflix.
Now all we need is a name. But the Netflix competitor may be missing a big piece of that library when it launches in late 2019. Be sure to follow Doctor Disney on Twitter and Instagram as well.
Among the streaming service's offerings, fans will get a brand new live-action Star Wars series from Iron Man helmer Jon Favreau, which is rumored to take place three years after the events of Return of the Jedi. Who knows, they're certainly going to give it a try.