The pair will invest $15 million in original video content; co-branded channel to appear on Disney.com
Disney will use YouTube to publish short-form content and will make its new YouTube channel a prominent part of Disney.com
Disney had previously attempted to draw fans to its stand-alone website Disney Interactive, all but opting out of YouTube altogether. However, the online division has lost over $300 million in the last four quarters and is now under pressure to create money-making content.
James A. Pitaro, co-president of Disney Interactive, said:
“It’s imperative to go where our audience is.” He added that the plan is “bring Disney’s legacy of storytelling to a new generation of families and Disney enthusiasts on the platforms they prefer.”
The first round of content will be based on Disney’s puzzle app Where’s My Water. Pitaro said that Disney wants to have eight original series in production at any given time.