Disney is reportedly set to lose around $100 million in the next fiscal year due to the launch earlier this year of Hulu with Live TV, a service that allows subscribers to watch over 50+ television channels live from the Hulu app.

Home Media Magazine reports Disney CEO Bob Iger expressed faith in the service with 70% of the $100 million loss to be incurred in the first quarter of the fiscal year. Disney co-owns the service with 21st Century Fox, Comcast and Time-Warner.

Investment costs for Hulu with Live TV and original programming (which Hulu will spend $2.5 billion on this coming year) are high, but the company is positioning itself to be a must have service for cord cutters. This is all separate to the launch of several Disney dedicated streaming services in 2018 and 2019.

Hulu with Live TV starts at $39.99 a month and offers additional premium channels, is available on unlimited screens, and can record up to 50 hours of television via Enhanced Cloud DVR.