Warner Bros. Discovery (WBD) is set to split into two distinct companies, marking a significant shift in its structure. Under the leadership of CEO David Zaslav, the organization will differentiate between its Streaming & Studios division and Global Networks.
Zaslav will head the Streaming & Studios division, while Chief Financial Officer Gunnar Wiedenfels has been appointed President and CEO of Global Networks. Both executives will retain their current positions at WBD until the separation is finalized.
The company stated that it “intends to separate the businesses in a tax-free manner for U.S. federal income tax purposes.” Additionally, it plans to establish arm’s length transition services and commercial agreements following the split to ensure smooth operations and maintain efficiency.
Zaslav reflected on the legacy of the company, stating, “The cultural significance of this great company and the impactful stories it has brought to life for more than a century have touched countless people all over the world. It’s a treasured legacy we will proudly continue in this next chapter of our celebrated history.” He emphasized that the new structure will allow for greater focus and flexibility, enabling the iconic brands to compete effectively in the changing media environment.
The Streaming & Studios division will encompass Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO, and HBO Max, alongside their extensive film and television libraries. In contrast, Global Networks will manage premier entertainment, sports, and news brands globally, including CNN, TNT Sports in the U.S., Discovery, and several leading free-to-air channels in Europe, as well as successful digital offerings like the Discovery+ streaming service and Bleacher Report.
This trend of restructuring is not unique to WBD; it follows similar moves by other legacy media companies, including Lionsgate’s recent split from Starz and Comcast’s creation of a new company, Versant, to manage a number of its cable networks.