Warner Bros Discovery, the media giant behind HBO Max and CNN, has announced plans to split into two distinct companies by mid-2026, separating its fast-growing streaming and studio operations from its traditional cable television networks.
The reorganization will create two entities: Streaming & Studios, which will include HBO Max, Warner Bros films, and hit series such as Succession, The White Lotus, and The Last of Us; and Global Networks, which will house CNN, Discovery Channel, and TNT Sports. CEO David Zaslav will lead the new streaming and studios business, while the company’s current CFO, Gunnar Wiedenfels, will head the Global Networks division.
“We are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” said Zaslav in a statement.
The split comes as the media industry continues to shift rapidly. While streaming services have seen a surge in global subscribers—Warner Bros Discovery’s platforms ended Q1 with over 122 million—the company’s cable networks have suffered declining viewership. CNN, for example, averaged just 558,000 primetime viewers in early 2025, a 6% drop from the same period last year. In January, the network laid off over 200 employees to prioritize digital content.
Despite the strategic move, investor reaction was muted. Warner Bros Discovery shares fell nearly 3% on Monday and are down over 10% this year. Analysts believe the split may eventually offer clarity to investors. “When you make the business less complicated, analysts can do a better job of determining what the business is actually worth,” said Peter Jankovskis of Arbor Financial Services.
The decision mirrors a broader industry trend, with competitors like Comcast also spinning off their cable TV divisions, including MSNBC and CNBC, from streaming platforms like Peacock.
As media companies grapple with evolving consumer habits and market competition, Warner Bros Discovery’s split marks a pivotal step toward adapting to a digital-first future.
Written By Rodney Mbua
