Disney is no longer allowing its customers to sign up for and purchase subscriptions to Hulu or Disney+ through Apple's App Store, cutting out any subscription fees that Disney would have needed to pay to Apple for using in-app purchase.
The change was noted on Reddit over the weekend, and there are details on the Disney+ and Hulu websites. Both the Disney+ and Hulu websites say that new and returning subscribers cannot sign up for and pay through Apple, but existing Apple-billed subscribers are not affected.
Hulu and Disney+ customers can still watch content on Apple devices by signing into their Hulu and Disney+ accounts in the iOS apps. Disney is now directing customers to its websites in order to see all plans and sign up for a subscription directly.
For digital purchases like subscription services, Apple collects a 15 to 30 percent fee from each transaction. By removing the option to sign up for streaming services using the in-app purchase system, Disney will not have to pay a fee to Apple and it will be classified as a "reader" app.
Disney's decision to stop supporting in-app purchases correlates with price increases that went into effect on October 17. Disney+ plan pricing went up by $2, while Hulu with ads is $2 more expensive and Hulu without ads is $1 more. Eliminating the in-app purchase fees paid to Apple seems to be part of an effort to boost streaming revenue, paired with price hikes and also a recent crackdown on password sharing.
Disney+ and Hulu will no longer be eligible for Apple's Video Partner Program going forward, and subscribers may notice a change in tvOS and the Apple TV app. The Video Partner Program provides integration with Apple technologies like Siri, AirPlay, Universal Search, zero sign-on, and more for streaming video apps that support in-app purchase.
