Elon Musk and President Trump aren’t the only ones splitting up.

Warner Bros Discovery has announced it will split into two different companies.

Unlike Musk and Trump’s split, Warner Bros did not split due to contention, but rather it was a strategic business move.

MSNBC explains why:

Warner Bros. Discovery plans to split into two public companies by next year, the media giant announced Monday, the latest upheaval in the industry as consumers transition from cable to streaming.

WBD will separate into a streaming and studios company, which will include its movie properties and streaming service HBO Max, and a global networks company, which will include CNN, TNT Sports and Discovery, among other businesses.

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CEO David Zaslav will lead the streaming and studios company. Current CFO Gunnar Wiedenfels will become CEO of the global networks business.

Warner Bros. Discovery expects to complete the split by the middle of 2026.

“By operating as two distinct and optimized companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” Zaslav said in a release.

The news confirms earlier reporting by CNBC and others that WBD was considering such a split. In December, the company announced restructuring that many saw as a precursor to a full break.

Warner Bros Discovery is splitting into 2 companies.

Streaming & Studios: WB Television, WB Pictures, WB Games, DC Studios, HBO, HBO Max + their film & TV libraries

Global Networks: CNN, TNT Sports, Discovery, Discovery+ & other TV networks pic.twitter.com/kj58IPu6Dl

— DiscussingFilm (@DiscussingFilm) June 9, 2025

In the last year, Warner Bros. Discovery hasn’t been doing too hot.

Everyone at Warners Bros needs to be fired. $38 billion in debt. These people are clearly stuck in the past. They upended a decade of building a DC brand to rival Marvel’s bc they disliked Zac Snyder. All of CNN’s anchors suck too. They lost the NBA games next season. https://t.co/eDB7ouEajY

— College Grad Failure (@SheldonGuinn) June 9, 2025

MSN reported that the company lost nearly $11.5 billion in 2024.

Read here:

By many measures, Warner Bros. Discovery had a bad 2024. Revenue dropped 4.8% to $39.3 billion. The company posted a staggering $11.5 billion net loss, largely because of a $9.1 billion goodwill impairment charge that reflected the lower valuation of its linear TV networks. WBD’s stock fell around 7% for the year.

But Warner Bros. Discovery rewarded president and CEO David Zaslav with a 4.4% pay bump, to total compensation of $51.9 million last year, including a cash bonus of $23.9 million and $23.1 million in performance-based restricted stock grants. According to WBD, Zaslav was deemed eligible for a 108.6% payout of his 2024 cash bonus target – and 200% of the target for his stock grants.

How exactly did Zaslav get a pay hike amid Warner Bros. Discovery’s financial decline?

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Apparently, among those wondering about this were the company’s own investors: At the 2025 annual stockholders meeting, a majority of shares were cast against a non-binding advisory to approve the pay packages of Zaslav and other top brass. It was a symbolic gesture, as the resolution doesn’t have a direct effect on how WBD structures its compensation plans. (After the vote, the WBD board said in a statement that its compensation committee “looks forward to continuing its regular practice of engaging in constructive dialogue with our shareholders.”)

This is a Guest Post from our friends over at WLTReport.

View the original article here.