%WaltDisneyCo ($DIS) has announced plans to combine content from its Disney+ and Hulu streaming services into a single app.
The move comes after Disney reported that it lost four million subscribers on Disney+ in this year’s first quarter, and as pressure mounts for the Mouse House to turn its streaming business profitable.
Calling the combined content a “one-app experience,” Disney said users will have access to everything from %StarWars and %Marvel superhero movies to more adult-oriented television shows all in one place.
While Disney is trumpeting the combination, some consumers voiced concerns online that the new approach will lead to higher subscription fees when the app goes live at the end of the year.
However, the company said that Disney+, Hulu, and sports streaming service ESPN+ will continue to be available as standalone services for people to subscribe to.
Hulu, which is owned by Disney and %NBCUniversal, is known for offering movies and television shows aimed at adults, such as the popular Handmaid’s Tale.
Disney is trying to turnaround its streaming business after it racked up losses of $659 million U.S. in the first three months of this year, and losses of $1.1 billion U.S. in the previous fourth quarter of 2022.
Management has said that Disney+ should become profitable by the end of 2024.
Disney has raised prices for its streaming services and cutback its production budget to develop new content. The company also announced 7,000 job cuts earlier this year, with more headcount reductions expected this summer.
Disney has poured billions of dollars into its streaming platform in recent years, transforming it from a company rooted in traditional television and movies into one of the dominant streaming services with more than 200 million subscribers worldwide.
Disney’s stock is down 12% over the last year and trading at $92.31 U.S. per share.