In his first town hall meeting since regaining control, Disney CEO Bob Iger made the first moves toward reshaping the media behemoth to his vision, promising to concentrate on boosting the business’s bottom line and correcting many perceived errors made by his predecessor Bob Chapek. He also addressed rumors regarding the Cupertino giant Apple acquiring Disney Studios.
Disney is strong enough to compete on its own, according to Iger’s main assertions. He dismissed rumors that have already surfaced about the potential sale of Disney to a computer behemoth like Apple. Disney’s history as a stand-alone entertainment corporation would come to an end with such a move. Iger, however, had a long history of friendships with Steve Jobs, the late co-founder of Apple, who founded Pixar before Disney bought it.
What you’ve read about in that regard is just pure speculation. Nothing is forever, but I’m very comfortable with the set of assets that we have. I think they can serve our company. Don’t expect any headlines soon about deals.”
Additionally, he dismissed the notion of making additional acquisitions, such as the ones he oversaw for Pixar, Marvel, Lucasfilm, and 21st Century Fox, claiming that the company’s portfolio of brands was already substantial enough.
Iger also stated that investors are no longer content with Disney+, the company’s streaming service, gaining just more subscribers. Disney+ had been the focus of investors and analysts before Iger’s resignation in early 2020. Since January, Disney’s stock has decreased by roughly 40%. Disney’s streaming division lost $1.5 billion in the fourth fiscal quarter while adding 12 million new customers to bring its total to 164 million. On Monday, Disney’s shares decreased by 3% to $95.69.
Iger said that shareholders now want streaming to be profitable and that the corporation must maximize returns. Iger emphasized quality above quantity once again about the material that Disney creates. In addition, Iger has maintained the employment restriction that Chapek instituted in his closing days as CEO after the company’s quarterly results disappointed the market. Iger is likely to be employed by the corporation for the next two years.