Disney CEO Bob Iger says he prefers to stay for only two years
Disney CEO Bob Iger appeared on CNBC’s “Squawk on the Street” on Thursday after the company announced it would cut 7,000 jobs and cut $5.5 billion in spending as part of a broader reorganization.
Iger, who returned to Disney in November, said on Thursday he does not plan to stay in his post for more than two years.
“Well, I’m planning to stay here for two years, that’s what my contract says, that’s my agreement with the board, and that’s my preference,” Eiger said.
Iger acknowledged that he has a lot of work to do in his short period of time besides helping the council “succeed in succession”. The board fired Bob Chapek last year. He was Eiger’s chosen successor.
Iger said on Thursday topping the list is Disney’s streaming strategy and making the business profitable. He called streaming “the future”.
Disney announced this week that it will cut $3 billion in content spending as part of its cost-cutting measures. The company also said that as it focuses on turning its streaming business into profitability by the end of 2024, it will no longer make projections for its subscriber numbers and instead focus on revenue.
“We may have been intoxicated by our own growth,” Iger said on Thursday, noting the low $6.99 price point that Disney+ entered the market at.
On Thursday, Iger said the company has “pricing leverage” for its streaming strategy.
Disney reported this week that its consumer-facing business reported an operating loss again in the most recent quarter.
Media executives began to increase the cost of streaming services to increase profits. Disney’s recent price increase likely resulted in the loss of about 2.4 million Disney+ customers during the quarter.
Disney shares rose in premarket trading following Wednesday’s announcement and the company’s earnings report.
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