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Disney Declares “Streaming Is Dead,” Curtails High-Budget Star Wars Shows After Andor’s $650 M Run

Analytics revealing steep production costs alongside modest subscriber gains have triggered a broader overhaul of the studio’s content strategy.

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Overview

  • Andor creator Tony Gilroy said Disney told him “Streaming is dead” during Season 2 budget talks, foreshadowing the shift.
  • The two-season series cost roughly $650 million to produce—about $325 million per season—making it one of the company’s most expensive shows.
  • It generated about $300 million in subscriber revenue since 2022, recouping less than half its production expenses over three years.
  • Industry analysis points to profitability struggles in Disney’s streaming division as the catalyst for reined-in budgets.
  • Studio executives are now prioritizing lower-cost projects or theatrical releases over high-budget streaming series for future Star Wars content.