Warner Bros. Discovery (WBD) is evaluating multiple strategic options, including a potential sale of the entire company or its parts, as well as its previously announced plan to split into two publicly traded entities, the company revealed in a news release on Tuesday. The announcement follows unsolicited interest from multiple parties, including a reported majority cash bid from Paramount Skydance for WBD’s cable networks and movie studio, according to The Wall Street Journal.
The company, formed through a 2022 merger, has been navigating a rapidly evolving media landscape. Initially, WBD planned to divide into two entities by mid-2026: Warner Bros., encompassing its namesake studio, HBO, HBO Max streaming services, and DC Comics film and television studios, and Discovery Global, which would include cable networks like CNN, TNT, TBS, and Discovery.
The Atlanta Journal-Constitution reports this strategic shift comes after a challenging period for WBD, marked by a $9.1 billion write-down on its cable networks’ book value in December 2024, reflecting underperforming assets from the 2022 merger.
The company’s review aims to “identify the best path forward” toward profitability, as stated by President and CEO David Zaslav, who emphasized ongoing efforts to position WBD for success in the competitive media industry.
The review process has no set deadline, leaving uncertainty about the impact on WBD’s workforce, including employees in Atlanta, and the broader structure of its operations.
WBD’s exploration of these options reflects the broader challenges facing media conglomerates as they adapt to shifting consumer preferences and financial pressures. The company will continue pursuing its planned split while evaluating these new opportunities, with a focus on maximizing value for shareholders and ensuring long-term competitiveness.