Walt Disney to cut content budget in upcoming films as the company’s initiative to lower production costs and while ‘improving quality’.
Disney to Cut Content Budget This Year
Walt Disney CEO Bob Iger announced that Disney is reducing its production budget for this year by an estimated amount of $3 billion amidst ongoing WGA and SAG-AFTRA strikes. In a report from The Wrap, writers and actors who are currently on a strike against the company are asking for better working conditions like increased salary to be able to cope with the current inflation.
It was said that investor’s pressure had been exerted on all media organizations including Disney which was now needed to reduce content expenses that grew out of control during the streaming wars.
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Disney to Cut Content Budget Amidst Ongoing Strikes and Thousand Layoffs
However, the decision of Disney to Cut Content Budget cost this year cannot be blamed only to the strikes, the new administration led by Bob Iger had started restructuring which was said to have caused thousands of employees to be laid-off.
When Bob Iger started his office in February, 7,000 jobs were said to have been closed while also cancelling some of the shows and movies.