Apple used to always require streaming platforms available on the App Store to give users the ability to subscribe directly through the app using in-app purchases. However, since this is no longer a requirement, many platforms are ditching Apple's in-app purchases, and Disney just did so.
Disney+ and Hulu Ditch Apple's In-App Purchases
As many Reddit users noted over the weekend, Disney has removed the ability to subscribe to Disney+ and Hulu through their iOS apps. From now on, new users are asked to create an account through an external website.
The news was confirmed by Disney itself on its website (via MacRumors), which now includes a section informing new users (or those looking to renew their subscription) that they can no longer subscribe and pay for Disney+ through the app, which is available for iPhone, iPad, Apple TV, and Apple Vision Pro.
For now, Disney says customers who already subscribe to Disney+ or Hulu through in-app purchases on iOS will not be affected and will not have to choose a new payment method. New subscribers should visit disneyplus.com/next to create their account.
Disney follows other streaming platforms like Netflix and Spotify, which have also ditched Apple's in-app purchases. In 2022, Apple changed its App Store policy to allow “reader” apps to redirect users to an external website to complete a purchase. This exception only applies to apps that provide digital content like books, audio, and video as their primary functionality.
It’s no surprise that these platforms decided to do this to avoid paying Apple’s 15-30% commission. Even though Disney+ and Hulu no longer pay the App Store commission, they won’t pass the difference on to their customers. In August, Disney announced that it would increase the price of subscriptions for both Hulu and Disney+.
The move didn’t come as a surprise, as Disney CEO Bob Iger said in April that the goal was to turn streaming into a “growth business” by lowering the “cost of customer acquisition.” and reduced marketing costs.
Disney has benefited from Apple's special program for streaming platforms
While Disney appears to be unhappy with the App Store's fees, an Apple spokesperson emphasized to 9to5Mac that the App Store has helped Disney reach a lot of people with its apps, which also include games and utilities for its theme parks.
Disney+ and Hulu have also benefited from Apple's Video Partner Program, which not only helps streaming platforms better promote their content through Universal Search and Siri, but also reduces the App Store's commission from 30% to 15%.
Apple argues that using the App Store's in-app purchase system is still the best way to let users buy digital goods and services, as the system can handle transactions in many countries and currencies and has its own anti-fraud mechanism. fraud.
If you subscribe to Disney+ or Hulu through their iOS apps, you can manage your subscriptions by going to Settings > Your Account > Subscriptions.