Burbank, California — Warner Bros. Discovery is poised to undergo a significant transformation, dividing into two distinct entities focused on specific media markets. The reorganization, confirmed by top executives, aims to enhance operational focus and strategic flexibility in an increasingly competitive landscape.

Under the leadership of CEO David Zaslav, the company will segment into two core divisions: Streaming & Studios and Global Networks. Zaslav will oversee the Streaming & Studios unit, which will encompass renowned brands such as Warner Bros. Television and HBO, along with DC Studios and HBO Max. Gunnar Wiedenfels, the current CFO, is set to take the reins as president and CEO of Global Networks, which will include a variety of entertainment and sports programming.

Warner Bros. Discovery plans to execute the separation in a manner that meets tax-free criteria for federal income purposes, allowing for a streamlined transition process. As part of this structural shift, the company will maintain agreements to support ongoing operations across both platforms during the period following the split.

In a statement reflecting on the company’s legacy, Zaslav emphasized the cultural impact of Warner Bros. Discovery’s extensive history, vowing to preserve its storied tradition while positioning the new companies for success in a digital age. He noted that this restructuring aims to empower its well-known brands, allowing each to better adapt to market changes and consumer demands.

The Streaming & Studios division will not only include current programming but also possess an extensive archive of films and television content. Conversely, Global Networks will focus on major television brands worldwide, such as CNN and TNT Sports in the United States, and popular free-to-air channels in Europe, alongside successful digital platforms like Discovery+ and Bleacher Report.

This trend of breaking up major media conglomerates aligns with recent movements within the industry. Notably, Lionsgate recently confirmed its separation from Starz, while Comcast has streamlined content by launching a new entity that includes various cable networks.

With this split, Warner Bros. Discovery joins other legacy media organizations in their quest to adapt to the fast-evolving media landscape, highlighting the ongoing push toward specialization and efficiency among major players in the sector. Executives expect these changes will better position the new companies to navigate the challenges and opportunities presented by shifting viewer habits and technological advancements.