In a seismic shift for the media industry, Warner Bros. Discovery (WBD) announced on today, that it will split into two publicly traded companies by mid-2026, separating its cable television networks, including CNN, TNT, and TBS, from its streaming and studio businesses, such as HBO, HBO Max, and Warner Bros. Pictures. This restructuring aims to address the divergent challenges facing traditional cable networks and the rapidly growing streaming sector, marking a pivotal moment for the media conglomerate formed by the 2022 merger of Warner Media and Discovery.
The new company, tentatively named WBD Global Networks, will house CNN, TNT Sports, TBS, Discovery, and digital products like Discovery+ and Bleacher Report. It will be led by Gunnar Wiedenfels, the current chief financial officer of Warner Bros. Discovery. Meanwhile, WBD Streaming & Studios, led by CEO David Zaslav, will encompass HBO, Warner Bros. Television, Warner Bros. Pictures, DC Studios, and HBO Max, along with their extensive film and television libraries. This division aims to capitalize on the growth of streaming and high-quality content production.
For CNN, TNT, TBS, and other cable networks, the split means a future where they must operate independently, without the financial and creative synergies they currently share with WBD’s studio and streaming arms. For now, little will change operationally, as the separation is expected to take 12 to 18 months to complete. However, the long-term implications are significant. These networks, which have faced declining viewership and revenue due to cord-cutting and shifts to streaming, will need to compete in a challenging linear TV market. CNN, in particular, may need to accelerate its digital transformation under CEO Mark Thompson, who has emphasized a subscription-based “lifestyle” product and a stronger digital footprint.
“This separation will invigorate each company by enabling them to leverage their strengths and specific financial profiles. This will also allow each company to pursue important investment opportunities and drive shareholder value,” said Wiedenfels. “At Global Networks, we will focus on further identifying innovative ways to work with distribution partners to create value for both linear and streaming viewers globally while maximizing our network assets and driving free cash flow.”
TNT and TBS, known for sports and entertainment programming, will also face pressure to innovate. The loss of NBA rights for TNT, set to expire this fall, underscores the challenges of relying on costly sports content in a “rental business,” as Zaslav described it. The new Global Networks company could be positioned for acquisition, with speculation of a potential merger with Comcast to create a sports media powerhouse, combining TNT Sports with properties like the Golf Channel and USA Network.
The split reflects broader industry trends, as media companies grapple with shrinking cable audiences and the need to bolster streaming platforms. While WBD’s streaming unit grew by 5.3 million subscribers last quarter, its TV networks segment saw a 7% revenue drop, highlighting the urgency of this restructuring. For now, CNN, TNT, and TBS remain under the WBD umbrella, but their future as standalone entities will demand agility and innovation to thrive in a rapidly evolving media ecosystem.
For now viewers of these networks will see little change as this split will take time. Once done though these networks will have to find a way forward on its own.
Please follow us on Facebook and X for more news, tips, and reviews. Need cord cutting tech support? Join our Cord Cutting Tech Support Facebook Group for help. You can find Luke on X HERE.