Warner Bros Discovery, the US media powerhouse behind HBO and CNN, has announced a major restructuring move, splitting its operations into two separate entities: one for streaming and studios, and another for traditional cable television. The strategic shift reflects the broader industry trend of declining cable TV viewership and the rising dominance of streaming platforms.
The new structure will see HBO Max and the company’s film division fall under a newly created “Streaming & Studios” business, to be led by Warner Bros Discovery CEO David Zaslav. This arm will include successful properties like Succession, The White Lotus, and The Last of Us. Meanwhile, the more traditional cable offerings – including CNN, Discovery, and TNT Sports – will operate under “Global Networks,” headed by the company’s Chief Financial Officer, Gunnar Wiedenfels.
“We are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” Zaslav said in a statement.
The split comes just two years after the 2022 merger that formed Warner Bros Discovery. However, despite the bold move, the company’s stock dropped nearly 3% following the announcement and has declined more than 10% so far this year.
Analysts like Peter Jankovskis from Arbor Financial Services believe the separation could help clarify the value of each business. “When you make the business less complicated, analysts can go in and do a better job of determining what the business is actually worth,” he told the BBC.
CNN, once a flagship for global news coverage, has seen its audience shrink. The network averaged just 558,000 primetime viewers in early 2025 a 6% year-on-year decline. In January, it laid off over 200 staff members as it pivoted toward digital strategies.
In contrast, Warner Bros Discovery’s streaming platforms appear to be thriving, reporting over 122 million subscribers at the end of Q1 2025.
The move mirrors a similar restructuring by Comcast, which is in the process of spinning off NBCUniversal’s cable assets to separate them from its streaming brand, Peacock highlighting the media industry’s accelerating pivot toward digital-first futures.
