Walt Disney tackles issues by spending more on Star Wars films and theme parks
Los Angeles — Walt Disney Company is going to spend its way out of its problems. The world’s largest entertainment company, which reported lower profit on Thursday, is already working on a new series of Star Wars films — movies that can cost $250m to make. The company will spend $1bn more on its theme parks in the new financial year and plans to start making movies and TV shows for a new streaming service that will launch in 2019. California-based Disney is trying to adapt to upheaval in the TV and film industries triggered by entertainment options like the Netflix streaming service. Viewers are spending less time with conventional media, whether it’s televised sports, DVDs or feature films on the big screen, and that’s forcing companies like Disney to reach out to them directly. All those costs will weigh on profit, the company said. "They reminded investors that they have these great brands and they’re putting their resources behind them, they’re addressing this head on," said Rob...
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