News, Analysis and Reviews of the Disney Entertainment Business
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Brought to fans, investors, entrepreneurs, executives, teachers, professors, and students by columnist, economist, novelist, reviewer, podcaster, business reporter and speaker Ray Keating
Ray talks about how immersive, fascinating and inspiring director Peter Jackson’s documentary on The Beatles is. It ranks as must-see on Disney+. And even if you're not a big fan of rock or The Beatles, but you are a creator - an author, songwriter, filmmaker, or whatever - you need to watch this documentary to see the creative process at work in a truly unique way. Listen here!
Plenty of reasons exist to watch The Beatles: Get Back documentary that has just premiered on Disney+. I’d like to touch on five.
First, this three-part, nearly-eight-hour-long docuseries, directed by Oscar-winner Peter Jackson, is a unique, immersive look at The Beatles – Paul McCartney, John Lennon, George Harrison and Ringo Starr. Jackson taps more than 60 hours of unseen footage (originally shot by director Michael Lindsay-Hogg) and 150-plus hours of audio created in January 1969. Not only is Jackson’s masterful restoration fascinating to watch, but to his credit, he lets The Beatles during these sessions, in effect, tell their own story.
Second, if you love music history and/or rank as a fan of The Beatles, this documentary series is a “must see.” There’s so much here in terms of the relationship between the band members as they work and create together, have disagreements, but mainly, appear to enjoy their time and work together. The close relationship, including creative trust, between Lennon and McCartney is evident, even at this late stage of their collaboration. Keep in mind that these sessions, which wind up producing material appearing on the group’s last two albums – Abbey Road and Let It Be – come not long before the band breaks up.
Third, watching the interactions of the group, including their entire rooftop concert on London’s Savile Row (and the amusing response of local police), I couldn’t help but be perplexed at The Beatles coming to an end not that long afterwards. For example, we see George Harrison go from briefly quitting the band to eventually talking about each member doing their own thing on occasion, while also still regularly working together as a group – and how that could help The Beatles continue.
At another point, John Lennon talks about how much he likes the new Apple studio that they just moved into and is looking forward to working there, saying it felt like “home.” Yet, Lennon would be the one who brings The Beatles to an end. And in that light, Yoko Ono’s presence in the sessions comes across as strange, as she seems to just sit next to Lennon for hours on end, doing little else. One is left wondering – as has been the case for more than five decades now – how much of that was real-life foreshadowing regarding her role in Lennon’s ending the band?
Fourth, Paul McCartney clearly has taken the reins as band leader at this point. He is the driving force. It’s also interesting to hear him talking about the need for discipline, and how they needed a manager who could instill such discipline, something that hadn’t occurred since their former manager Brian Epstein – who the band members still refer to as “Mr. Epstein” – had died. McCartney understands what’s needed, but also knows his own limitations, including as a band member, and that he could not fill that position.
Fifth, all creators – whether musicians, songwriters, book authors, filmmakers, painters or so on – should watch The Beatles: Get Back documentary. Getting to watch Paul McCartney at the keyboard working through the creation of songs that we will all come to know and love is invaluable. Not only is it fascinating, but it is informative and inspirational.
Indeed, this entire documentary, rather than feeding a voyeurism of how this band broke up, instead fuels an admiration for the incredible creativity and talent of all four members of The Beatles. This is a band that has become legendary over the decades, and this documentary, while in no way hagiography, confirms the status of The Beatles among the very greatest artists of the rock ‘n’ roll era.
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Ray Keating is the editor, publisher and economist for DisneyBizJournal.com, and author of the Pastor Stephen Grant novels and assorted nonfiction books. Have Ray Keating speak your group, business, school, church, or organization. Email him at raykeating@keatingreports.com.
The views expressed here are his own – after all, no one else should be held responsible for this stuff, right?
Great Christmas Gift! The Disney Planner 2022: The TO DO List Solution is here! It combines a simple, powerful system for getting things done with encouragement and fun for Disney fans, including those who love Mickey, Marvel, Star Wars, Indiana Jones, Pixar, princesses and more. Also, “The Disney Planner 2022: The TO DO List Solution” comes with a handy spiral binding for easy use.
Finally, there’s a television show that combines my arcane knowledge of classic television sitcoms, and my love for Marvel Comics since childhood. Who would’ve thought such a thing would ever exist? But WandaVision is anything but typical, and it’s off to a wonderfully quirky and intriguing start on Disney+.
The first two episodes – without giving anything major away – offered the veneer of two classic sitcoms (clearly, The Dick Van Dyke Show and Bewitched), with clear signals that much more is at work below the surface. After all, this is part of the Marvel Cinematic Universe, and if you saw Avengers: Endgame, then you know there’s a great deal more that will be revealed as to what’s actually occurring.
There are probably three main groups taking in WandaVision. The first are those with knowledge of key moments in the actual comic books in terms of the relationship between Wanda (a.k.a. Scarlett Witch) and the Vision. They are left wondering what parts of those comics might wind up on screen in this Disney+ series.
The second group knows the movies, understands how things ended for these two characters, and is trying to figure out what’s real and illusion.
And finally, there are those who have not watched the movies, don’t know the comics, and have flipped over because they have a Disney+ subscription. For that group, good luck. My advice is go back and watch the movies. If not, at least check out the first two Marvel Studios: Legends episodes on Disney+ focused on Wanda and Vision, and try to enjoy the mysterious ride.
WandaVision has a run of nine episodes, running through March 5. I’m certainly looking forward to the next seven Friday nights, expecting twists, turns, mysteries, revelations, action, and hopefully, more tips of the hat to classic sitcoms.
What happens after that? Well, two weeks later, The Falcon and the Winter Soldier series premieres on Disney+.
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Ray Keating is the editor, publisher and economist for DisneyBizJournal.com, and author of the Pastor Stephen Grant novels and assorted nonfiction books. He can be contacted at raykeating@keatingreports.com.
The views expressed here are his own – after all, no one else should be held responsible for this stuff, right?
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The November 12 earnings call by the Walt Disney Company didn’t serve up any earth-shattering information. But it did reinforce the company’s laser-like emphasis on direct-to-consumer (DTC) services (i.e., streaming).
It was noted that paid subscribers at the end of the fourth quarter (which closed on October 3, 2020) registered 73.7 million for Disney+. And Disney CEO Bob Chapek noted that Disney+ was launched exactly one year ago, and subscriber levels have far exceeded expectations.
For good measure, ESPN+ subscribers hit 10.3 million, which was up versus 3.5 million a year earlier.
And as for Hulu, total subscribers have hit 36.6 million, which was up from 28.5 million last year.
By the way, that tallies up to 120.6 million paid subscriptions for Disney streaming services.
Chapek, as he did in the previous earnings call, made clear that Disney was moving to “a DTC first business model” and that DTC stands as the “key driver of long-term value” and the “key to the future of our company.” He, therefore, noted the “continued increase in our investment in DTC content.”
As for the theme parks, Chapek served up a negative take on the state of California standing against the re-opening of Disneyland, saying he was “extremely disappointed” and pointing to California using “arbitrary standards” as opposed to actual science and evidence. As a result, Chapek noted that the state was hurting local communities and “decimating small businesses.”
And regarding the Disney Cruise Line, Chapek noted that the CDC’s new requirements to get back to sea represented “high hurdles,” indicating that they might push back the cruise line’s reopening. Chapek did highlight, however, high demand for cruises for the back-half of 2021 and for 2022.
Finally, while Chapek avoided talking about actual results of the Mulan premiere access release, he was positive on the strategy, which, no doubt, will annoy many Disney+ subscribers.
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Disney has gotten a lot of things right with their new streaming service, but perhaps one of their strongest showings has come in the form of their original, behind-the-scenes programming such as the recent Magic of Disney’s Animal Kingdom series; The Imagineering Story; Disney Gallery/Star Wars: The Mandalorian; Inside Disney; or Prop Culture. Kicking off tomorrow (November 13) is a brand new how-it-happens series that will allow you to pull back the curtain on the workings Inside Pixar.
Similar to the original One Day At Disney program that provided short glimpses of the people bringing you the magic around the Disney empire, the Inside Pixar documentary series is arranged in a set of four themed collections, each featuring five short stories, with individual episodes ranging from 9-11 minutes long. The first collection, dropping on Friday, is labelled “Inspired,” and the segments focus on Soul’s co-director Kemp Powers, character designer Deanna Marsigliese, director Steven Hunter, script supervisor Jessica Heidt, and director Dan Scanlon. The Inside Pixar episodes are directed by Erica Milsom and Tony Kaplan.
Disney calls this show, “A documentary series of personal and cinematic stories that provide an inside look into the people, artistry, and culture of Pixar Animation Studios.”
Pixar is the ground-breaking studio behind more than two dozen creative films such as the Toy Story franchise; Inside Out; Up; Cars; Monsters, Inc.;The Incredibles; Ratatouille; Finding Nemo; Coco; Onward; and the soon-to-debut Soul (December 25, direct to Disney+).
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Beth Keating is a regular contributor to DisneyBizJournal.
Please support the efforts of DisneyBizJournal.com to bring news, analysis and commentary on Disney to readers such as yourself. Make a contribution right here via PayPal. Thanks!
The Star Wars crew will be celebrating Life Day in an upcoming holiday special… and somewhere in the universe, George Lucas just broke out in a sweat. Fear not, George, it’s not the dreaded and embarrassing 1970s holiday special that you’ve tried to bury so deep that no one can ever see it again (though if you try really hard, you can sometimes find it on YouTube…just sayin’.) Either way, I’m guessing George “has a bad feeling about this,” seeing the words Star Wars and Holiday Special linked in the same sentence.
This time around, it’s a LEGOStar Wars Holiday Special, set to debut on Disney+ on November 17. Ironically, it’s the same date that the original special aired in 1978, and the good folks at LEGO and Disney+ certainly give a wink and a nod to their predecessor. (For those who may not be familiar with it, Life Day is the Star Wars’ version of a winter holiday celebration, originally celebrated on the Wookiees’ home planet of Kashyyyk.)
Star Wars fans of the live action, Lego and animated varieties will have a lot to unpack. The new trailer alone is crammed full of Easter Eggs from all generations of the movies, the new Mandalorian series, the Clone Wars animated show, and more. Oh, and it’s all enacted by pint-sized LEGO characters, with their usual humor and quirkiness, and enough crossovers to keep the action interesting. (And you thought Avengers: Endgame was the crossover to end all crossovers…)
Disney tells us, “‘The LEGO Star Wars Holiday Special’ reunites Rey, Finn, Poe, Chewie, Rose and the droids for a joyous feast on Life Day. Rey sets off on a new adventure with BB-8 to gain a deeper knowledge of the Force. At a mysterious Jedi Temple, she is hurled into a cross-timeline adventure through beloved moments in Star Wars cinematic history, coming into contact with Luke Skywalker, Darth Vader, Yoda, Obi-Wan and other iconic heroes and villains from all nine Skywalker saga films. But will she make it back in time for the Life Day feast and learn the true meaning of holiday spirit?”
If you are a fan of the LEGO brand of tongue-in-cheek storytelling, pour yourself a glass of blue milk, round up some holiday cookies, and gather the family. This might just become an annual tradition.
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Beth Keating is a regular contributor to DisneyBizJournal.
Please support the efforts of DisneyBizJournal.com to bring news, analysis and commentary on Disney to readers such as yourself. Make a contribution right here via PayPal. Thanks!
We’ve all been anxiously waiting, and now the date is almost here. Am I talking about the 2020 election? Ha! Most certainly not. This is about Star Wars – specifically, The Mandalorian.
While the choices in the looming election depress me, what ranks as exciting is the fact that season 2 of The Mandalorian arrives tomorrow (October 30), with episodes coming each Friday thereafter through December 18. Now, here’s the perfect vehicle for forgetting about two old crazy and creepy guys running for president.
While this year’s election has done much in further tearing the nation apart, I think we can all come together in support of Mando and his adventures protecting and discovering the truth about The Child. The Don and Joe show? Nah. I’ll enthusiastically tune in to some high-quality Star Wars thanks to The Mandalorian.
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The shift in emphasis at The Walt Disney Company toward direct-to-consumer online streaming continued today with the company’s announced strategic reorganization. The new structure of Disney’s media and entertainment businesses will be focused on creating original content for streaming services, as well as for legacy platforms.
Meanwhile, distribution and commercialization will be centered in one Media and Entertainment Distribution organization for the global company. In a statement, Disney explained that the unit “will be responsible for all monetization of content—both distribution and ad sales—and will oversee operations of the Company’s streaming services. It will also have sole P&L accountability for Disney’s media and entertainment businesses.”
As for the leadership team, Disney noted, “The creation of content will be managed in three distinct groups—Studios, General Entertainment, and Sports—headed by current leaders Alan F. Horn and Alan Bergman, Peter Rice, and James Pitaro. The Media and Entertainment Distribution group will be headed by Kareem Daniel, formerly President, Consumer Products, Games and Publishing.” They, of course, will report to CEO Bob Chapek.
The three units will produce content for theatrical, linear and streaming, with streaming services notably called “the primary focus.”
Specifically, Horn and Bergman will head up studios with a focus on branded vehicles for theatrical releases, Disney+ and other streaming services, and will cover Disney live action and Walt Disney Animation Studios, Pixar, Marvel, Lucasfilm, 20th Century Studios and Searchlight Pictures.
As chairman of General Entertainment Content, Rice will focus on episodic and long-form content for streaming, and for cable and broadcast vehicles, including via 20th Television, ABC Signature and Touchstone Television; ABC News; Disney Channels; Freeform; FX; and National Geographic.
Pitaro will head up ESPN and Sports Content for the ESPN cable channels, ESPN+, and ABC.
Chapek said, “Given the incredible success of Disney+ and our plans to accelerate our direct-to-consumer business, we are strategically positioning our Company to more effectively support our growth strategy and increase shareholder value. Managing content creation distinct from distribution will allow us to be more effective and nimble in making the content consumers want most, delivered in the way they prefer to consume it. Our creative teams will concentrate on what they do best—making world-class, franchise-based content—while our newly centralized global distribution team will focus on delivering and monetizing that content in the most optimal way across all platforms, including Disney+, Hulu, ESPN+ and the coming Star international streaming service.”
Investors seemed to like what Disney had to say, as the company’s stock was up by better than 5 percent in after-hours trading at the time of this writing on October 12.
The Walt Disney Company announced today that the Pixar movie Soul will be released directly on Disney+, rather than in theaters. And it might make the holiday season a bit more fun for families, as it will be released on Disney+ on Christmas Day.
Unlike Mulan, there will be no additional cost to view the film. If you subscribe to Disney+, then you’ll be able to tune in Soul. In international markets where Disney+ is not available, the film will be released at some point in theaters.
According to Disney’s previous release schedule, Soul was supposed to head into theaters on November 20, 2020. But with the pandemic still wreaking havoc with movie theaters, it’s not surprising that Soul will debut on Disney+ instead.
Disney CEO Bob Chapek said, “We are thrilled to share Pixar’s spectacular and moving ‘Soul’ with audiences direct to Disney+ in December. A new original Pixar film is always a special occasion, and this truly heartwarming and humorous story about human connection and finding one’s place in the world will be a treat for families to enjoy together this holiday season.”
Disney describes Soul this way:
What is it that makes you...YOU? Pixar Animation Studios’ “Soul” introduces Joe Gardner (voice of Jamie Foxx) – a middle-school band teacher who gets the chance of a lifetime to play at the best jazz club in town. But one small misstep takes him from the streets of New York City to The Great Before – a fantastical place where new souls get their personalities, quirks and interests before they go to Earth. Determined to return to his life, Joe teams up with a precocious soul, 22 (voice of Tina Fey), who has never understood the appeal of the human experience. As Joe desperately tries to show 22 what’s great about living, he may just discover the answers to some of life’s most important questions. “Soul” is Directed by Academy Award® winner Pete Docter (“Inside Out,” “Up”), co-directed by Kemp Powers (“One Night in Miami”) and produced by Academy Award nominee Dana Murray, p.g.a. (Pixar short “Lou”).
The Walt Disney Company announced in May that it was suspending its semiannual dividend, and said that it would revisit the issue in six months. Activist investor Dan Loeb wants that $3 billion dividend to end, and be reinvested in content for Disney+.
In a letter sent to Disney CEO Bob Chapek and the board today, Loeb argues that ending the dividend would allow Disney to double its budget for Disney+ original content, according to The Hollywood Reporter.
Loeb reportedly pointed out: “Beyond bringing additional subscribers onto the platform, increased velocity of dedicated content production will deliver several knock-on benefits spread across your existing base including elevated engagement, lower churn, and increased pricing power… [M]eaningfully accelerating DTC content spend will further broaden the divide between Disney and its traditional media peers — AT&T’s WarnerMedia, Discovery, ViacomCBS, Comcast’s NBCUniversal and Fox — none of which have the financial capabilities to execute such a bold plan… [W]ith Disney’s superior tentpole franchises and production capabilities, we believe that the company can exceed the subscriber base of the industry leader, Netflix, in just a few years.”
CNBC noted that Loeb also wrote: “The ability to drive subscriber growth, reduce churn, and increase pricing present the opportunity to create tens of billions of dollars in incremental value for Disney shareholders in short order, and hundreds of billions once the platform reaches larger scale.”
CNBC reported, “Shares [of Disney] have fallen about 6 percent in the past year as theme park and movie theater closures have hurt Disney’s operations. Netflix shares are up almost 95 percent over the same period.”
In terms of comparing dollars spent on content, CNBC also pointed out: “While Disney has been able to woo subscribers with its large catalog of movies, ‘Star Wars,’ and Marvel content, it hasn’t spent much on original programming. Netflix may spend more than $17 billion this year and more than $28 billion by 2028, according to BMO Capital Markets estimates. Disney said last year it expected to spend about $1 billion on Disney+ original content in its fiscal year 2020 and just $2.5 billion by 2024. Some of that original content has further been delayed by pandemic quarantines, which have halted production.”
It will be interesting to see how Disney responds to Loeb given that Chapek was highly focused on Disney+ during the August earnings call.
Loeb’s Third Point Capital ranks as one of Disney’s largest shareholders. Disney’s full year and fourth quarter 2020 earnings call is set for November 12, which presumably will include a decision on the company dividend.
Friday evenings in our house of late seem to have morphed into watching the newest episode of whatever Disney+ series we happen to be following. It started when we were watching The Mandalorian, followed by Disney Gallery/Star Wars: The Mandalorian, DisneyProp Culture, then Muppets Now.
By far one of my favorites, though, has been One Day At Disney Shorts. I find fault only with the fact that the episodes are way too… well, short (they are only 5-7 minutes long). I’d like to see more from the cast members as they go about their day. If you haven’t been following the series, you’d be amazed at the enormous variety of careers that are melded together to make the Disney empire work.
In last week’s segment drop (Episode #42. Dr. Natalie MyIniczenko), we “met” a veterinarian at Disney’s Animal Kingdom. It was an interesting look at the tremendous amount of effort that goes on behind the scenes in taking care of the thousands of inhabitants at Animal Kingdom. As the 7-minute episode ended, I really wished I had been able to see more of the hands-on work the vets and staff undertake in nurturing the animals.
It turns out, I’m going to get that chance. This Friday (September 25), Disney+ will be debuting “Magic of Disney’s Animal Kingdom,” an original eight-episode docuseries that gives viewers an all-access pass to see exactly what the veterinarians and animal caretakers do backstage in caring for the many feathered, hooved, and finned creatures who make their home at the Disney Parks.
The series will help you learn more about the creatures at Disney’s Animal Kingdom Theme Park, Animal Kingdom Lodge and The Seas with Nemo & Friends at EPCOT. The series is from National Geographic, now partnered with Disney (and the creators of some great educational content on Disney+ for all you families who may be homeschooling again this fall!)
There are more than 5,000 animals who make their homes at Walt Disney World. In addition to getting a peek at how animals like the lions get fed, and how the animal care team provides enrichment for the various critters, you’ll also get to see many of the animals up close as the staff interacts with the animals to provide for their medical care and day-to-day needs. You’ll even get to see a few of the new babies born along the way.
New episodes of “Magic of Disney’s Animal Kingdom,” narrated by Josh Gad, will drop each Friday for an eight-episode run.
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Beth Keating is a regular contributor to DisneyBizJournal.
Reed Hastings, the Netflix CEO, and other observers are impressed with what Disney has achieved so far with Disney+, and expectations have only become more robust looking ahead. That’s a good thing, since uncertainty reigns across many of Disney’s other ventures.
In July, Netflix reported that it had gained 10.1 million subscribers in the quarter ending in June of this year. And that came after adding 16.1 million in the previous quarter. Netflix now has more than 190 million subscribers globally, and for the year ending in June, Netflix revenue registered $22.6 billion, which was a 28.4 percent increase over the previous year.
And who is number 2 in terms of subscribers? That would be Disney+ at more than 60.5 million, and of course, Disney+ only came online in November of last year. However, total subscription numbers for the Walt Disney Company top 100 million when combining Disney’s Disney+, Hulu and ESPN+.
Hastings apparently is impressed with what Disney has achieved. In a September 7 report, Bloomberg News asked Hastings to identify his number one competitor: “‘Disney,’ he said. ‘If you’d asked us a year ago, “What are the odds that they’re going to get to 60 million subscribers in the first year?” I’d be like 0. I mean how can that happen? It’s been super impressive execution.’”
Competition and too many streaming options? Hastings doesn’t seem worried: “‘There is no such thing as subscription fatigue,’ [Hastings] said. ‘Disney has “The Mandalorian” and we have “Stranger Things.” They are somewhat complementary. People will subscribe to both.’”
In an analysis released early last week by Deutsche Bank, analyst Bryan Kraft says streaming promises to be the big plus for Disney. Indeed, based on his take on the streaming end, Kraft upgraded his rating on Disney from a hold to a buy, with a target price of $163 (the stock closed on Friday, September 11, at $131.75). As MarketWatch noted:
The company has “the most clear path to successfully transitioning its general entertainment programming and content production businesses into a globally scaled, vertically integrated streaming entertainment leader,” Kraft wrote. “The clearest sign that Disney is succeeding in transitioning its business model, aside from the impressive subscriber results, has been management's decision to shut down some of its traditional networks in international markets, including the UK,” he continued, as Disney has been willing to write down the goodwill associated with such moves.
Perhaps most interesting was Hastings’ acknowledging a shift in strategy at Netflix: “Netflix is no longer solely focused on making high-quality, award-winning shows. Hastings and his co-CEO Ted Sarandos say building new franchises is the next big mission. The want to identify stories that can stretch across multiple TV shows, movies, toys and lunch boxes, appealing to viewers all over the world.”
That, of course, and as Bloomberg noted, sounds very much like a Disney strategy. Disney’s influence already is being seen, with recognition of value in Disney’s model. At the same time, Disney has learned from Netflix that a regular stream of new content is vital to sustaining and growing subscribers. Also, consider that the Netflix shift is about adding a Disney model onto their existing “high-quality, award-winning shows” strategy, not replacing it. That points to the market leadership and enormous revenue being raked in by Netflix.
Can Disney seriously challenge Netflix to become number one in streaming? Sure, they can. We’ll see if they will. Part of the story will be told as new production ramps up post-pandemic, and another part could be about Disney winning a much bigger part of live sports, such as NFL Ticket when that becomes available after the 2022 season.
For streaming aficionados and bingers, strap in. Toss HBO Max, Peacock, Amazon’s Prime Video, YouTube and others into the mix, and this promises to be a great deal of fun.