Recap: Subscribers to the Disney Bundle can now watch Hulu content directly on the Disney+ app after the Walt Disney Company has officially integrated the two services for US customers. The integration is part of the so-called "one-app experience" that has been several months in the making.
As part of the one-app experience, you can watch FX's The Bear and Hulu originals like Only Murders in the Building on the Disney+ app alongside regular Disney content, such as Loki and The Mandalorian.
The combined app will also be the home for other popular and critically acclaimed shows like Grey's Anatomy, Shogun, and more. While Bundle plans are available starting at $9.99/month, viewers can continue to subscribe to either one of the services individually as they will remain available as standalone offerings.
The merger comes a few months after Disney announced plans to combine Hulu with Disney+ and integrated some Hulu content into the Disney+ app to gauge public reaction as part of a beta test. During this test period, viewers who subscribed to both services were presented with a designated Hulu streaming tile on the Disney app, similar to existing tiles for Disney's Marvel, Star Wars, Pixar, and National Geographic brands.
The move is part of Disney's plan to improve subscription numbers amid reports that the company has lost billions of dollars on its streaming business. However, despite the losses piling up, Disney CEO Bob Iger recently told investors that he is "extremely confident" that streaming will start making profits in the fourth quarter of this fiscal year.
While the integration of the two apps is good news for Disney Bundle subscribers, there are concerns about how it will work in the real world. While Disney is known for its family-friendly fare from Pixar, Star Wars and Marvel, Hulu offers more edgy content typically aimed at a mature audience.
Despite concerns, Disney believes that the combined experience will help it retain more subscribers, as the Disney Bundle (including Disney+, Hulu, and ESPN+), reportedly has the lowest churn rate in the industry. According to research firm MoffettNathanson, only 2 percent of subscribers cancel the Disney Bundle per year, which is lower than Netflix's 3.3 percent, and much better than the average industry churn rates of around 6-7 percent.