Robert Fishman

Robert Fishman asked about the competitive and promotional environment in OSB and prediction markets, and for an update on the legislative front, particularly if prediction markets are influencing OSB legalization efforts.

Answer

Co-Founder and CEO Jason Robins characterized the competitive environment as rational from a promo standpoint, with cushion built into the conservative guidance. He noted that prediction markets are gaining legislative traction and are a point of discussion in states considering OSB legalization, potentially influencing new bills.

Robert Fishman asked about the future roadmap for Disney+ to evolve into a 'super app,' integrating Hulu, ESPN, parks, hotels, cruises, and games, leveraging AI and user-generated content. He also questioned the path for Disney's direct-to-consumer business to achieve sustained double-digit revenue growth through subscriber engagement and advertising.

Answer

CEO Bob Iger detailed plans for a more dynamic and engaging Disney+ experience, including a unified app, global Hulu branding, and AI-driven personalization. He highlighted opportunities for commerce, theme park engagement, and game integration (via Epic Games partnership), as well as user-generated content. CFO Hugh Johnston affirmed the aspiration for double-digit DTC top-line growth, driven by revenue expansion and operating leverage, aiming for significant margin gains beyond 2026.

Robert Fishman asked about the importance of global versus local sports rights for Netflix and whether acquired sports rights need to materially accelerate advertising growth.

Answer

Co-CEO Ted Sarandos explained that the global versus local decision for sports rights is a scale question, balancing cost against local audience size. He reiterated Netflix's focus on big live events, not season packages, and noted that sports rights vary in global appeal. He emphasized that thrilling audiences is the primary goal, with revenue (from advertising or subscription) being the reward. He listed upcoming live events including NFL Christmas Day games, Skyscraper Live, SAG Awards, WWE, World Baseball Classic, and FIFA Women's World Cup.