Dan Loeb of activist investment firm Third Point called on Disney  (DIS) – Get Report to permanently suspend its dividend and use those funds to beef up its offerings on the Disney+ streaming service, a media report says.

In a letter to the Burbank, Calif., company’s board that was reviewed by Bloomberg, Loeb said the $3 billion the company pays out annually would be better spent on content production. 

“Beyond bringing additional subscribers onto the platform, increased velocity of dedicated content production will deliver several knock-on benefits spread across your existing base including elevated engagement, lower churn, and increased pricing power,” Loeb said, according to Bloomberg. 

Third Point holds less than a 1% stake in Disney after opening a long position in the entertainment giant due to its bullishness on its streaming service. 

Disney’s most recent dividend payment was 88 cents a share in January. After the coronavirus pandemic forced the company to close its theme parks and torpedoed its movie release schedule, Disney suspended its biannual dividend payment. 

Last month, Deutsche Bank analysts upgraded the stock to buy due to streaming strength.