Warner Bros. Discovery is being restructured into two distinct divisions

Media giant Warner Bros. Discovery has announced an overhaul of its corporate structure, which includes moving from three distinct divisions to two, which also includes a clear delineation between its linear and streaming and studio operations.

The two new divisions, called Global Linear Networks and Streaming and Studios, have fairly simple names and were pitched as a way to bring “strategic flexibility” to the company, it announced on December 12, 2024.

“From the combination that created Warner Bros. Discovery, we have transformed our business and improved our financial position while delivering world-class entertainment to global audiences,” said Warner Bros. Chairman and CEO. Discovery’s David Zaslav said in a statement. “We continue to prioritize ensuring that our Global Linear Networks business is well-positioned to continue to generate free cash flow, while our Streaming & Studios business focuses on driving growth by telling the world’s most compelling stories. Our new corporate structure better aligns our organization and improves our flexibility with potential future strategic opportunities in an evolving media landscape, helps us build momentum and create opportunities as we evaluate all avenues to deliver meaningful shareholder value .”

The new structure is expected to be fully operational by mid-2025.

While its linear networks that include CNN, TNT, TBS and other names are not completely separated, as Comcast plans to do with most of its NBCUniversal cable networks, the new structure has already sparked rumblings that WBD could pursue a spin- officially off. on the road or looking for a way to combine with NBCU channels or other networks.

HBO, which is still offered as a linear network but is also tightly integrated into the Max streamer, will be part of the streaming side of operations.

Most media conglomerates are experiencing declines in their linear television businesses, making these brands less profitable. Streaming and production, however, continue to be strong in most cases.

In some ways, the restructuring around legacy and digital platforms echoes the trend of the early 2000s, when media companies split their newspaper, TV and digital properties as the print business began to decline.