Following the company’s announcement that it will eliminate 7,000 positions and save $5.5 billion in expenses as part of a bigger reorganization, Disney CEO Bob Iger made an appearance on CNBC’s “Squawk on the Street” on Thursday.
Iger, who took over as CEO of Disney again in November, declared on Thursday that he had no intention of holding the position for more than two years.
Well, according to my contract, my agreement with the board, and my inclination, my intention is to stay here for two years.
Iger admitted that, in addition to assisting the board “succeed at succession,” he has a lot to accomplish in his limited tenure.
Disney’s streaming plan and turning the company profitable are at the top of the list, Iger said on Thursday. Streaming, in his words, is “the future.”
Disney stated this week that it will eliminate $3 billion from its content expenditures as part of its cost-cutting initiatives.
Iger remarked on Thursday that the cheap entry price of $6.99 that Disney+ used to enter the market had “perhaps intoxicated us.”
Iger said on Thursday that the business’s streaming strategy has “pricing leverage.”
A loss of 2.4 million Disney+ subscribers is likely due to Disney’s recent pricing increase during the most recent quarter.
Following the announcement on Wednesday and the company’s earnings report, Disney shares increased in premarket trade.