SEOUL, October 14 (NWN) – Walt Disney Co. plans to challenge Netflix’s dominance in South Korea by joining forces with the country’s leading carriers ahead of the launch of its Disney + streaming service on November 12.
KT, South Korea’s second largest mobile operator, said Wednesday that it has signed an agreement with Walt Disney Co. Korea, which includes discount offers for customers who subscribe to Disney +.
The Seoul-based company plans to roll out a dedicated monthly subscription plan to allow its users to access Disney content including Pixar, Marvel, Star Wars and National Geographic.
KT did not disclose further details.
Korean company Walt Disney announced in August that it will launch its Disney + services with a monthly subscription fee of $ 8.50.
“Partnering with Disney + will enable our customers to enjoy more content,” said KT Senior Vice President Park Hyun Jin.
Last month, KT rival LG Uplus said it would offer Disney + content to its Internet Protocol TV users.
“We look forward to working with more partners in South Korea to make it easier and more convenient for people to use our content,” Disney Korea CEO Oh Sang Ho said during an online press conference on Thursday.
Disney + launched in November 2019 and has attracted over 100 million paying subscribers in almost two years. But the service still lags behind Netflix, which has over 200 million users.
Disney + is trying to surpass Netflix by introducing additional streaming services in November in locations such as South Korea, Taiwan and Hong Kong.
According to market tracker Nielsen Koreanclick, in Korea, Netflix leads the market with 7.9 million monthly active users at the end of June, followed by local platform Wavve with 3.9 million users.
Observers expect the competition between Netflix and Disney + to be fierce.
“Disney + will go to great lengths to challenge Netflix, which accounts for about 50 percent of the South Korean market. Netflix will not sit idly by losing market share, ”Kim Hyun Young, an analyst at HMC Investment & Securities, told NWN News Korea.
“Their competition is going to be really fierce, which will eventually increase the OTT penetration rate here, which is around 40 percent.”
Earlier this year, Netflix pledged to invest $ 500 million in films and series produced in South Korea in 2021. Its a Korean thriller Squid game is the platform’s most broadcasted show in all markets where it is available.