What if…Disney issued a thinly-veiled threat after losing 700K subscribers?

Did Disney just issue a not-so-subtle warning to viewers after losing 700,000 subscribers? That’s what some people are saying after the media giant’s eyebrow-raising Super Bowl ad, which left social media buzzing.

When the Walt Disney Co. reported its first-quarter earnings on Wednesday, Feb. 5, the company revealed that it beat expectations on revenue and profit. However, it also acknowledged troubling signs for its streaming service. Apparently, Disney Plus lost 700,000 subscribers in the final three months of 2024, marking the first decline since its 2019 launch. ESPN+ also took a hit, losing another 700,000, though Hulu managed a slight bump to 53.6 million subscribers.

Disney did warn investors back in November that a “modest decline” in core Disney Plus subscribers was coming, but the loss still raises questions about the company’s pricing strategy and content appeal. The subscriber dip coincided with price hikes Disney announced last August, pushing the ad-supported tier to $9.99 and the ad-free version to $15.99. The move was intended to drive profitability, but some customers clearly weren’t sold.

In response to the subscriber drop, Disney rolled out a dramatic Super Bowl ad titled “What if?” The ad, filled with ominous music and fading beloved characters, asked audiences to imagine a world without Disney’s biggest franchises, including Star Wars and the Marvel Cinematic Universe. The message seemingly hinted at the company’s desperation to secure growth for its streamer as it threatened people to subscribe or risk losing access to their favorite stories.

However, instead of inspiring nostalgia and loyalty, the ad left many viewers rolling their eyes and scratching their heads. A number even took to X to poke fun at Disney’s questionable move. “What if Disney+ actually made good content instead of spending millions on Super Bowl ads?” one X user quipped, while another wrote, “What if Disney+ put out better content? They wouldn’t have lost so many subscribers.” Someone else also summed up the backlash: “Disney, this ‘What If’ stuff only works when it’s clever. You’re just using it to ask empty questions [laughing emoji]. What’s the point of this commercial? That we’re lucky your products exist? Okay, whatever, Disney.”

Despite the streaming struggles, Disney’s financials weren’t all bad. The company’s net income soared nearly 23% to $2.64 billion, with revenue climbing 4.8% to $24.69 billion. Success at the box office helped fuel the gains, as Disney dominated 2024’s movie charts with Inside Out 2, Deadpool & Wolverine, and Moana 2, the latter of which surpassed $1 billion in ticket sales.

The Disney parks division was a mixed bag, as international parks saw a 28% jump in operating income, but domestic attendance slumped 5%, with Disney’s report blaming this on hurricanes and cruise-related preopening expenses. Meanwhile, sports-content revenue climbed 13%, thanks to college football and an extra NFL game, despite Disney pulling out of the Venu Sports joint venture, according to Fast Company.

Looking ahead, Disney isn’t out of the woods yet. CEO Bob Iger acknowledged during the earnings call that another subscriber drop is likely next quarter, signaling that Disney still has work to do to stay competitive in a streaming landscape dominated by Netflix and Amazon Prime. Still, despite the turbulence, Disney remains a major player. Statista recently reported that Disney+ reached nearly 159 million global subscribers in late 2024, a far cry from collapse.