Bob Iger says Disney may restart production of films and series for rivals

Walt Disney CEO Bob Iger said Thursday that the studio may resume production of movies and TV shows for its competitors, marking a departure from years past when its production resources were tapped to launch and grow its core Disney+ service.

Iger told the Morgan Stanley Technology, Media and Telecommunications Conference in San Francisco that streaming services have traditionally relied on volume of fresh content to attract subscribers. He said he hopes to take a more curated HBO-like approach and create some high-quality shows based on his core brands as he works to keep Disney+ profitable.

“As we look to reduce the amount of content we create for our own platforms, there are likely opportunities for third party licensing,” Iger said. “For a while we couldn’t do that because we preferred our own streaming platforms. But if we get to the point where we need less content for these platforms, and we still have the capacity to produce that content, why not use it to generate revenue?”

Iger also spoke about the possibility of licensing content to third parties, noting that Seth MacFarlane’s Family Guy animated series is attracting viewers on both Disney-owned Hulu and streaming service Roku.

Iger returned to Disney in November, less than a year after retiring, as the entertainment company sought to boost investor confidence and profits for its streaming media division.

In February, the company announced a massive restructuring, saying it would cut 7,000 jobs as part of an effort to save $5.5 billion and return power to Disney’s creative executives.

The plan prompted activist investor Nelson Peltz to end his search for a seat on the board, saying he was pleased with Eiger’s restructuring.