Disney+ launches ad-supported tier in South Korea amid subscriber slump

"Nothing worth watching." "A dismal report card."

Disney+, which has poured hundreds of millions of won into lead actor fees — between 300 million won ($374,000) and 500 million won per episode — only to face criticism that its library still offers little of value, has announced a major new move: an ad-supported subscription tier it had long hesitated to introduce.

Falling behind Netflix in South Korea, Disney+ has drawn sharp criticism from users who say the platform offers nothing worth watching and should simply exit the market. The question now is whether joining the ad-supported tier trend — lowering the subscription price to attract new users — can mark a turning point for the platform's growth.

Disney+ announced Saturday it will roll out an ad-supported standard membership on a staggered basis starting Nov. 10.

The new tier is priced at 7,000 won per month, including VAT. Eligibility to sign up may vary by user, but the plan will be open to everyone from Nov. 17.

The membership includes ads before and during content. It supports up to 1080p video quality and 5.1 audio.

Subscribers can stream on up to two devices simultaneously. For an additional 4,000 won per month, one person outside the subscriber's household — such as a family member or friend — can be added as an extra member.

Alongside the new ad tier, Disney+ is raising prices on existing plans. New subscribers joining after Nov. 10 will pay 11,500 won per month for the standard membership and 16,500 won per month for the premium membership — increases of 16.2 percent and 18.7 percent, respectively, from the current rates of 9,900 won and 13,900 won.

Disney+'s new ad-supported tier is priced the same as Netflix's ad-supported standard plan at 7,000 won per month, and higher than domestic streaming services Tving and Wavve, which charge 5,500 won.

The move follows other streaming platforms in lowering the financial barrier to entry through ad-supported pricing, with the aim of drawing in more subscribers.

Growing its South Korean subscriber base has become an urgent priority for Disney+. Five years after entering the Korean market in 2021, the platform is under pressure to demonstrate meaningful results — but conditions remain difficult.

According to mobile analytics firm Mobile Index, Disney+'s monthly active users in South Korea stood at about 3.73 million in September, down 6.9 percent from the previous month.

That figure is nearly four times smaller than Netflix's roughly 15.51 million monthly active users. Disney+ also trails Tving at about 9.99 million, Coupang Play at about 9.2 million, and even Wavve at about 3.98 million, underscoring the platform's struggle to expand its user base.

Industry observers point to a lack of competitive original content as the main reason for Disney+'s stagnating growth. The platform has released original Korean titles this year — including Made in Korea Season 2, Killers' Shopping Mall Season 2 and Sullae Game — but the sheer volume of releases remains far below that of rival platforms. Some say the titles released have also failed to generate the buzz that was hoped for.

With new titles including The Remarried Empress set to arrive early next month, the key question is whether the ad-supported tier launch can help Disney+ break through and expand its audience in South Korea.