The video streaming wars are entering a new, more costly phase: new entrants are literally giving away their services.
Disney, Apple, AT&T’s WarnerMedia and Comcast’s NBCUniversal have each said they will offer their upcoming streaming services for no charge to large groups of potential customers. Disney, for instance, last week struck a deal with Verizon that lets some of its customers get Disney Plus free for a year, while Apple said last month it would offer its Apple TV Plus streaming service for a year free to anyone who buys a new Apple device. Giveaways of WarnerMedia’s HBO Max and NBCUniversal’s Peacock will likely be more for phone or cable customers of affiliated companies—some AT&T wireless customers who also subscribe to HBO will reportedly get free access to HBO Max, for instance—but the effect is the same.