(CNN): The company said Tuesday that it will end its partnership with the streaming service in 2019.
Disney also announced it will launch its own streaming services, and plans to acquire a majority stake in BAMTech, a major streaming and marketing service.
Disney's cable networks, such as ESPN, make up the majority of the company's earnings. However, that proportion has fallen in recent years as viewers change the way they consume entertainment. The new streaming services are a way to connect directly with consumers and take advantage of new viewing habits.
To that end, Disney is paying $1.58 billion for majority ownership of BAMTech.