New era dawns as Disney moves to streaming

Los Angeles

DISNEY set off a sonic boom in Hollywood by unveiling plans to start two Netflix-style services: For the first time in the streaming age, the world's largest media company had decided that embracing a new business model was more important than clinging to its existing one.

Disney's decision to better align itself with consumer trends - deemed "a rare and impressive pivot" by RBC Capital Markets - instantly reverberated through the entertainment industry. Disney's cable channels, which include ESPN, have long been seen as the reason that many viewers were refraining from cutting the cord entirely. If Disney was going all in on streaming, the impact would be felt by almost every television company and cable operator.