Summary
- Warner Bros. Discovery announced plans to separate into two independent publicly traded companies by mid-2026
- One company will focus on Streaming & Studios (HBO, HBO Max, Warner Bros. film/TV, DC Studios, led by David Zaslav)
- The other company is split as Global Networks (CNN, TNT Sports, Discovery, led by Gunnar Wiedenfels)
Warner Bros. Discovery (WBD) has unveiled a major reorganization plan, intending to divide into two separate publicly traded entities by mid-2026. This move, announced recently, is designed to enhance the focus and strategic agility of its wide-ranging assets as the industry transitions from conventional cable to streaming platforms.
The newly formed company will incorporate WBD’s top-tier content creation segments, such as HBO, HBO Max, Warner Bros. Television and Film Group, DC Studios, Warner Bros. Games, and an extensive collection of movies and TV shows. David Zaslav, the present CEO of Warner Bros. Discovery, will oversee this sector in his roles as President and CEO. The main objective of this company is to expand HBO Max worldwide and allocate resources towards high-quality programming.
As a devoted admirer, I’m thrilled to share that this fresh venture will serve as the home for Warner Bros. Discovery’s array of traditional linear television networks, coupled with their digital counterparts. This encompasses renowned names such as CNN, TNT Sports (in the States), Discovery, and top free-to-air channels spanning Europe, together with profitable streaming services like Discovery+ and Bleacher Report. Gunnar Wiedenfels, our current Chief Financial Officer at WBD, will take on the role of President and CEO for Global Networks, dedicating his efforts to optimizing network resources and boosting free cash flow.
This split significantly undoes a large portion of the $43 billion USD deal from three years ago that formed Warner Bros. Discovery, a transaction that burdened the company with substantial debt. This action is viewed as an immediate reaction to the trend of people canceling their cable subscriptions, or “cord-cutting,” which has resulted in decreasing viewership and profitability in traditional television, while streaming platforms are gaining hundreds of millions of users. By splitting into two separate entities, WBD intends to enable each to explore individual investment possibilities, utilize their unique financial positions, and boost shareholder value.
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2025-06-10 10:25