Exploring Disney's Future: Insights from Q1 2022 Mailbag
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Chapter 1: Overview of Disney's Q1 2022 Mailbag
As Disney prepares for its Q1 earnings call, we're addressing various queries related to its diverse businesses. Topics include the competition between ESPN and tech giants like Apple and Amazon, intriguing CEO rumors, the blockbuster success of Spider-Man: No Way Home, and much more.
We received a plethora of insightful questions for this mailbag. If you'd like to have your inquiries featured in our next edition (Q2), feel free to reach out via Twitter @TripleZ_87 or @BoardwalkTimes, or email us at [email protected].
Section 1.1: Disney+ Expansion Plans
Which countries are set to gain Disney+ this year?
This summer marks a significant expansion for Disney+, reaching 42 countries and 11 territories. The new markets include Albania, Algeria, Andorra, Bahrain, Bosnia and Herzegovina, Bulgaria, Croatia, the Czech Republic, Egypt, Estonia, Greece, Hungary, Iraq, Israel, Jordan, Kosovo, Kuwait, Latvia, Lebanon, Libya, Liechtenstein, Lithuania, Malta, Montenegro, Morocco, North Macedonia, Oman, Palestine, Poland, Qatar, Romania, San Marino, Saudi Arabia, Serbia, Slovakia, Slovenia, South Africa, Tunisia, Turkey, the United Arab Emirates, Vatican City, and Yemen.
Additional territories include the Faroe Islands, French Polynesia, and several others.
Subsection 1.1.1: Anticipated Release Dates for New Shows
Could Moon Knight debut on Disney+ on March 30 with a two-part premiere? Might Obi-Wan Kenobi launch on April 6, with finales on May 4 and May 11, strategically avoiding interference with Doctor Strange In The Multiverse Of Madness?
At the time of this question, Moon Knight lacked a confirmed release date but is now set for March 30. A two-episode premiere is a possibility, reserving May 4 for Star Wars content. However, this remains uncertain. There seems to be little news on Obi-Wan Kenobi as well, but we hope Disney's Shareholders Meeting will clarify the upcoming Disney+ schedule.
Section 1.2: Concerns Regarding Live Sports Competition
How concerned is Disney about Amazon and Apple entering the live sports arena and its implications for ESPN?
ESPN's success heavily relies on live sports. If Amazon and Apple aggressively pursue live sports rights, it could pose a significant challenge for Disney. The company already invests heavily in sports, and outbidding Amazon and Apple would be a tough feat given their financial muscle.
Disney appears to be banking on securing streaming rights for sports, hoping that by the time they need to renew, Apple and Amazon may have shifted their focus elsewhere.
Chapter 2: Speculations on Leadership and Market Position
What are your thoughts on the rumor that Bobby Kotick from Activision could become Disney's next CEO?
I believe this rumor is merely speculative. A quick search of "Bobby Kotick" will reveal numerous reasons why he wouldn't be a fit for Disney. CEO Bob Chapek will remain in position until at least early 2023, and there’s a better chance of Kevin Mayer and Tom Staggs returning as Co-CEOs than considering Kotick for the role.
The success of Spider-Man: No Way Home is noteworthy, as it has now become the sixth highest-grossing film of all time, achieved during a pandemic and without a release in China. This remarkable success showcases the film's broad appeal across generations and highlights the importance of theatrical releases.
Is there a demand for a third water park at Walt Disney World?
If Disney were to focus on its water parks, it might enhance the existing ones rather than build a new one. Both Blizzard Beach and Typhoon Lagoon are among the few areas at Walt Disney World that lack significant intellectual property (IP) integration. It’s surprising that Blizzard Beach hasn’t introduced an Olaf attraction yet.
While there’s always interest in expanding Walt Disney World offerings, the likelihood of a third water park seems slim for now. However, future demand could change this perspective.
Given the current drop in share price and substantial debt, could another company attempt to acquire Disney?
While a takeover bid could theoretically occur, it seems unlikely. Disney aims to remain one of the few entertainment companies not under a tech conglomerate's ownership. Acquisitions by major players like Apple, Amazon, or Google would attract significant regulatory scrutiny.
Could Disney consider purchasing a theater chain?
This topic warrants further exploration. With the Paramount Decree ending, companies like Disney could reshape the theatrical landscape. Disney has a robust brand and plays a critical role in sustaining the theater experience with event films.
However, the operational costs of running a theater chain may deter Disney, especially given their exit from brick-and-mortar retail. Yet, the concept of Disney operating its own theaters raises intriguing possibilities, such as exclusive screenings for Disney+ content.
For now, it’s best to keep an open mind regarding this potential future.
From all indications, Encanto was a successful release, yet its presence in the parks is minimal. Why is that?
The company seems to have been unprepared for Encanto's success. Additionally, with less spending on park updates, this may contribute to the lack of representation. Although Encanto had a small presence at the EPCOT Festival of the Arts, it remains minor.
Incorporating Encanto into the parks, even temporarily or through meet-and-greet experiences, could be beneficial. It would be ideal for Disney to announce new attractions related to Encanto at the upcoming D23 Expo.
If you have questions for our next mailbag, don’t hesitate to reach out via email at [email protected] or tweet @BoardwalkTimes.
Follow @BoardwalkTimes on Twitter for live updates on Disney's Q1 Earnings Call scheduled for 4:30 p.m. EST / 1:30 p.m. PST on February 9, 2022.
Zach Perilstein is the Editor-in-Chief at Boardwalk Times