Warner Bros. Discovery to split CNN, TNT from HBO Max and studios

Warner Bros. Discovery, the parent company of HBO Max, CNN and TNT, announced Monday it would split into two companies by the middle of next year, the latest move by a major media conglomerate to reckon with a fracturing audience landscape

Warner Bros. Discovery, the parent company of HBO Max, CNN and TNT, announced Monday it would split into two companies by the middle of next year, the latest move by a major media conglomerate to reckon with a fracturing audience landscape.

The split will see one company house Warner's studios and streaming units, which include HBO Max, the DC Comics universe, and film production and distribution. That group will be led by WBD CEO David Zaslav. The other will comprise WBD's TV networks, such as CNN and Discovery, and will be led by Chief Financial Officer Gunnar Wiedenfels. That company will also take on most of WBD's existing debt.

“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 statement.

The move is likely to trigger a fresh wave of deal-making and consolidation in the legacy TV industry, which has been hammered by cord-cutting from cable customers who are shifting more to streaming and social video platforms like TikTok.

WBD’s decision echoes Comcast's announcement late last year stating it was spinning off its cable networks, including CNBC, MSNBC, E!, Syfy, Golf Channel, USA and Oxygen. That new company is set to be called Versant. Comcast owns NBCUniversal, the parent company of NBC News.