The Town with Matthew Belloni Warner Bros. Discovery Is Splitting Up. What's Next?
34 snips
Jun 9, 2025 
Lucas Shaw, a media and entertainment reporter for Bloomberg, joins to dissect the breakup of Warner Bros. Discovery. They explore the motivations behind the split, and what it means for HBO Max and CNN. Shaw speculates on potential buyers for the spun-off companies, including Netflix’s interest in DC franchises. The discussion touches on the broader challenges of the media landscape, from declining cable markets to the evolving dynamics of streaming and acquisitions, offering insights into the future of major content players.
AI Snips
Chapters
Transcript
Episode notes
Warner Bros. Discovery Merger Failed
- The Warner Bros. Discovery merger failed because cable dropped faster than expected and the streaming strategy underdelivered.
- The combined entity's ambitions of scale to compete with Netflix did not materialize, leading to a split.
Spinoff Strategy Explained
- The spinoff puts most of Warner Bros. Discovery’s debt with the less profitable TV networks.
- The split aims to shield streaming and studios from burdensome debt, while TV assets generate cash but likely face resource cuts.
CNN's Bleak Future Post-Spinoff
- CNN is the biggest loser in the spinoff, losing resources and strategic vision when separated.
- CNN remains must-carry, but cost cuts and reduced global operations are likely under new management.