Streaming vs. cable: Warner Bros. Discovery seeks new direction

Warner Bros Discovery, one of the largest players in the media and entertainment industry, has announced a major restructuring of its business. The company plans to split its operations into two separate divisions, "Global Linear Networks", which will include cable TV channels such as TNT and CNN, and a new unit focused on streaming platforms such as Max and Discovery+, along with movie studios.

The move, which is expected to be completed by mid-2025, could open the door to a possible sale or spin-off of the traditional TV division. What does this change mean for the future of Warner Bros Discovery $WBD and the entire media industry?

A company split as a response to the traditional television crisis

Traditional cable television, which has long been a major source of revenue for media giants, is facing a significant decline in interest due to the growing popularity of streaming services. Consumers are moving en masse to platforms that offer flexibility and personalised content, leaving…