Charles Esther
Warner Bros Discovery has decided to split into two separate companies, aiming to sell off cable TV networks like CNN, TNT, and Discovery Channel.
This decision comes after years of internal discussions and signals a major shift in strategy.
The split will allow Warner Bros Discovery to focus more on its core entertainment and streaming business, including the Warner Bros studio and HBO Max.
Meanwhile, its cable assets will be moved into a new division labeled the “global networks” unit.
This unit will be positioned as a standalone business, with hopes that someone else will take ownership of these declining but still profitable networks.
The keyword phrase “Warner Bros Discovery splits to sell CNN TNT and Discovery Channel” defines the company’s latest step in exiting the traditional cable market.
Why Warner Bros Discovery No Longer Wants Cable Networks
Cable TV was once a goldmine for media companies, but the industry is in permanent decline.
More consumers are cutting the cord or choosing not to subscribe at all.
Streaming services are replacing traditional viewing habits, leaving cable channels with shrinking audiences.
Warner Bros Discovery’s CEO David Zaslav acknowledged this trend while trying to highlight the networks’ continued profitability.
Still, profitability is no longer enough to justify keeping these networks as part of the main business.
Zaslav wants investors to believe that the networks could grow on their own — but the message behind the split tells a different story.
The Global Networks Unit Will Hold CNN TNT and Discovery
Once the separation is complete, the new company — the global networks unit — will own all of Warner Bros Discovery’s cable properties.
This includes CNN, TNT, Discovery Channel, Food Network, and others.
While these brands are well-known, their future is uncertain in a market that increasingly favors streaming.
The goal is to make this unit appealing to buyers who still see value in legacy TV.
That could include private equity firms or media companies looking to consolidate their own cable holdings.
Comcast Is Taking a Similar Approach with Versant
Warner Bros Discovery isn’t alone in this strategy.
Comcast announced a similar split in 2024, creating a company called Versant to hold its cable assets.
Like Warner Bros Discovery, Comcast kept its movie studio and Peacock streaming platform under its main umbrella.
The idea behind both moves is to protect high-growth businesses from the drag of a declining industry.
It also opens the door for possible mergers between the cable spin-offs in the future.
What Happens to CNN and Other Cable Brands?
CNN is one of the most recognized names in global news, but its viewership has been declining.
The news network is still valuable, yet it faces major challenges in the current media environment.
How CNN is managed or sold could impact its editorial direction and public trust.
Other networks like TNT and Discovery still offer popular programming but are competing against endless streaming content.
Buyers will have to decide whether these brands have long-term relevance or are simply cash generators with a short shelf life.
Financial and Strategic Questions Still Remain
The split raises significant questions for investors and industry observers.
How will Warner Bros Discovery divide its $35 billion debt across the two companies?
What will future content licensing and distribution deals look like between the split entities?
Could this separation improve Warner Bros Discovery’s stock performance in the long run?
Comcast’s stock rose after its own split announcement — but has since dropped by 20%.
The same volatility could affect Warner Bros Discovery depending on how the market reacts over time.
Cable TV’s Future Is in Doubt
The decision to split and sell CNN, TNT, and Discovery Channel shows how far cable TV has fallen in importance.
Networks that once dominated media now struggle to keep up with changing viewer habits and declining ad revenue.
The people running these networks have accepted that growth lies elsewhere — mostly in streaming.
What happens next will depend on who decides to buy these assets and how they choose to run them.
For now, Warner Bros Discovery is moving on.
And it’s hoping someone else still sees value in what cable TV has left to offer.
