Strike Pressure, Iger’s Desperation, & the ‘Barbie’ Effect

Photo: RB/Bauer-Griffin/GC Images
Matthew Belloni
August 11, 2023

It’s hard not to look at Disney C.E.O. Bob Iger’s recent moves as knee-jerk plays for quick cash: his reveal of big price hikes for ad-free Hulu ($18 a month) and Disney+ ($14, bundled for $20), both designed to meet Bob Chapek’s 2024 profitability goal; the fire sale in TV; and the quixotic quest for a deep-pocketed investor for ESPN. Now, most troubling: the Worldwide Leader’s sad $2 billion gambling gambit with Penn Entertainment, an also-ran, downmarket gaming outfit that incinerated $850 million in a terrible deal with the scumbag Barstool Sports impresario Dave Portnoy and is now looking to the Walt Disney Co. for a lifeline. Disney really shouldn’t be in business with a company like Penn, especially on this scale, but Iger has few alternatives.