Disney Plots The Future Of Its Traditional Networks

Disney is examining whether its future should include fewer television networks, reports The Wall Street Journal.

After Chief Executive Bob Iger said last summer that some of Disney’s TV networks, which include ABC, FX and National Geographic, might not be core to the company, executives set out to determine which channels have long-term value and which are expendable.

As part of the review, the company has explored potential sales and discussed putting some of its TV networks into A+E Networks, its joint venture with Hearst, according to people familiar with the matter.

Disney’s traditional TV networks were once cash cows but are suffering from viewership declines as streaming replaces the cable bundle. The company is exploring whether it can cut staff, programming and marketing costs enough to retain all of its TV networks.

Its stable of TV networks includes ABC—which airs hits such as “The Golden Bachelor”—and eight local television stations, the Disney Channel, Freeform, National Geographic and FX, home to the American Horror Story franchise.

So far, the executives’ work has identified ABC, Disney Channel and FX as the channels with the most value to Disney, people involved in the process said, because they all produce content that is popular on Disney’s streaming platforms Disney+ and Hulu. Other assets including cable networks Freeform and the National Geographic channel are less critical to Disney’s future, the review found.