David Zaslav, president and CEO of Warner Bros. Discovery, arrives at the world premiere of ‘The Flash’ at Ovation Hollywood on June 12, 2023 in Hollywood, California.
Michael Tran | AFP | Getty Images
warner bros discovery announced Thursday a restructuring plan that will split its business into linear and streaming divisions to simplify future integration.
WBD stock rose about 15% in early trading Thursday.
The company’s new Global Linear Networks division will house a network of news, sports, scripted and unscripted programming, including CNN, TBS, TNT, HGTV and Food Network. The streaming and studio unit will house WBD’s film studio and streaming platform Max.
HBO, which has supported the television industry for many years, will be brought under the streaming division, according to people familiar with the matter.
Updates will come in a few weeks comcast announced it would spin out cable networks including CNBC, MSBNC, E!, Syfy, Golf Channel, USA and Oxygen.
“Our priority remains to ensure that our Global Linear Networks business is well-positioned to continue to drive free cash flow,” WBD CEO David Zaslav said in a statement. “While our Streaming & Studios business is focused on driving growth by telling the world’s most compelling stories.”
Warner Bros. Discovery plans to complete its restructuring by the middle of next year.
Disclosure: Comcast is the parent company of CNBC.
— CNBC’s Alex Sherman contributed to this report.
