Warner Bros. Discovery is creating a new corporate structure, slimming down from three divisions to two and establishing a clear separation between linear networks and the streaming and studios businesses.
The two new operating units will be called Global Linear Networks and Streaming & Studios.
The move, announced Thursday morning, will only add to speculation about M&A moves that may be in the offing. Multiple Wall Street analysts have suggested that the company consider breaking itself up, primarily in order to eliminate the financial drag of linear networks, which are losing subscribers and advertising revenue at a steady clip. Last summer, WBD took a $9 billion write down on the value of its cable networks, citing the loss of NBA rights as a key factor.
In a press release, WBD said the restructuring is “designed to enhance its strategic flexibility and create potential opportunities to unlock
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