Disney’s $60 Billion Scam
Yesterday Josh D’Ammaro, the CEO of Disney Parks and Experiences had an absolutely amazing announcement to make.
Over the next decade, Disney is going to be investing $60 BILLION into the parks. The business press got stupidly excited about this one, and the entertainment press was peeing itself in awe and wonder at the daring of Iger the White. Why then did the Disney share price crash? Isn’t this the good news investors were hoping to hear?
Well, no it wasn’t.
The investors weren’t fooled by this incompetently run three-card Monty game.
You see, Disney currently sinks $6 billion into the parks every year as it is now. Investors already knew that. They also knew that 6 x 10 = 60. And given the current rate of inflation, this constitutes a substantial budget cut over the next ten-year period.
Even if Disney was sinking real money into the parks instead of the Monopoly kind, it wouldn’t matter that much because Imagineering has gone. Guardians of the Galaxy was fine but the rest of the new attractions have been notably deficient in terms of detail-engineering, as well as giving guests clear and unobstructed views of the back of Disney Park facades. That would have been an unthinkable fuck-up ten years ago but now it’s par for the course.
What’s really upset the investors is that Universal is genuinely expanding their parks. Universal’s massive expansion Epic Universe, opens in the summer of 2025. Disney has nothing on the boards to answer it.
Burn. Rat, Burn.
