Disney+ and Hulu Discontinue App Store Payments

Disney recently made an announcement that iPhone users will no longer be able to pay for streaming services such as Disney+ and Hulu through the App Store. This change means that Apple users will now have to take additional steps in order to access these popular streaming platforms.

Instead of the usual payment process within the app, iPhone users are now required to visit the Disney+ or Hulu website to make payments. After completing the payment process on the website, users will then need to log back into the app to enjoy the streaming services offered by these platforms.

The decision to bypass Apple’s App Store for payments allows Disney to avoid paying subscription fees to Apple, which typically takes a 15-30% cut of any subscription payment made through the store. This move aligns with a trend among streaming services like Spotify, which have adjusted their subscription plans to be more expensive when purchased through the App Store.

According to a report by MacRumors, this new payment method will impact new and returning subscribers, while existing subscribers who are billed through Apple will not be affected by the change.

As a result of this shift, the Hulu and Disney+ apps are now categorized as reader apps, leading to their exclusion from Apple’s Video Partner Program. This change could potentially result in less integration with Apple TV app features such as Siri, AirPlay, and zero sign-on.

While this new payment method may offer cost savings for users, both Disney+ and Hulu recently raised their subscription prices slightly, likely in an effort to boost revenue. The ongoing issue of Apple taking a percentage of subscription fees has been a point of contention for many iOS users and subscription-based service providers.

Following a recent court ruling in favor of Spotify in a long-standing legal battle, the music streaming service also encourages iPhone users to make payments through their website rather than the App Store to reduce costs.

It appears that the 15-30% commission on subscription plans through the App Store is unlikely to change soon, prompting other platforms to potentially follow Disney’s lead in directing users to subscribe through their websites. Ultimately, iPhone users will have to choose between a slightly cheaper but less convenient route of signing up via the web or continuing to pay a premium for the Apple experience through the App Store.