Disney Looks to Earn $1B from Internet

Disney is ramping up its Internet efforts and expects to reap greater returns thanks to hit shows being streamed online, such as Lost and Grey’s Anatomy, reports the AP. The company expects to earn $1 billion in fiscal 2008, a sizable jump over last year, said CEO Robert Iger in a webcast yesterday. He said Disney will aggressively mine online opportunities to establish and expand new revenue streams.

Disney earns just 3% of its revenue from online sources such as advertising on ABC.com, where it reruns many of its hit shows, and ESPN.com advertising. But Disney has moved more strongly into the industry, launching a studio to develop content specifically targeted to ABC.com and Google-owned YouTube. "If we're not there, (people) will just access someone else's content," Iger said. (More Disney stories.)