Warner Bros. Discovery splits TV from streaming and studio business

New Delhi: Warner Bros. Discovery has decided to split its operations into two distinct divisions. 

On December 12, the company announced that it would separate its traditional cable television networks from its streaming and studio business, effective by mid-2025. 

This restructuring will see the creation of a "Global Linear Networks" division housing networks like CNN, TBS, and Food Network, focusing on maximising profitability and cash flow from these established channels. 

Conversely, the "Streaming & Studios" division will include the Max streaming service and Warner Bros. studios, aiming to drive growth and capitalise on the increasing demand for digital content.

The decision comes amidst a broader industry trend where media giants are adapting to the decline in cable TV subscriptions due to cord-cutting. 

This move is expected to provide Warner Bros. Discovery with greater strategic flexibility and potentially pave the way for future sales or spinoffs of its linear TV assets.