Here is the idea in plain terms: what if you could watch Disney shows without paying a monthly fee, as long as you sat through commercials? Disney is considering exactly that.
On the Aug 5, 2026 earnings call, D'Amaro told investors Disney is studying the idea of letting people watch without a monthly fee in exchange for seeing commercials. He stopped short of announcing anything, but he spelled out the reasoning.
"We see it as a way to expand our reach to a customer segment that's more price-sensitive, and expanding our reach is one of our strategic priorities," D'Amaro said. He also said that a free option could help Disney grow new Disney+ subscribers near the start of their relationship with the service.
That phrase, "near the start," is what ad people call the top of the funnel. In plain terms, it means catching people who are not ready to reach for their wallet yet and hoping they pay later.
Disney is not entering strange territory. Free, ad-supported platforms like Fox Corp.'s Tubi, Paramount Skydance's Pluto TV, and Roku's The Roku Channel have been pulling in more viewers as subscription prices climb.
Cheaper ad-supported tiers from Netflix and Disney+ have also become a bigger part of how streamers add customers and improve profits.
Disney already has an ad-supported Disney+ tier, and it has used live sports and awards shows to court advertisers. The company's ad-selling infrastructure is in place, which makes a no-subscription option a plausible next step.
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The trade-off for viewers is simple: watch commercials, skip the bill. For Disney, that trade-off could turn more attention into ad revenue.
D'Amaro thinks Disney has an edge because it has more ad inventory than many ad-supported rivals. That could help the company accelerate ad revenue growth, he said.
Advertising has become central to the streaming business, and Disney's ad sales picture has some good news. Sports and streaming ad sales have stayed strong even with more competition.
The biggest sign: Disney reported that all Super Bowl commercial slots on ABC and ESPN in February have been bought. That matters because Super Bowl ad space is historically the most expensive on live TV.
This year, 30-second slots have reportedly gone for $9 million.
Disney said Wednesday it was "pleased" with "upfront" advertising commitments. For anyone who does not live in the ad world, upfronts are the annual presentations where networks pitch their shows to advertisers and lock in deals.
If Disney goes ahead, you may soon have another way to watch its shows without reaching for your wallet. You would likely pay with your attention instead, and that attention is exactly what Disney wants to sell to advertisers.
Disney has been building toward this by selling ads on Disney+ and using live sports to lock in advertisers. A free tier would extend that approach, turning attention into ad revenue now while aiming to convert viewers into subscribers later.
For investors, the key question is whether free viewers eventually become paying subscribers. Disney is betting that getting people in the door early is worth the short-term cost.
Streaming used to be one flat monthly price. Now it is a menu of choices, with ads as the dividing line.
For your money, the question is simpler: does a lower bill beat the commercials? For Disney shareholders, the question is whether those commercials build a bigger, more profitable streaming business.
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