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https://finance.yahoo.com/news/warner-bros-discovery-plans-cost-164737068.html

Warner Bros Discovery plans new cost cuts, hike in Max price, Bloomberg reports

Reuters
Wed, May 8, 2024, 11:47 AM CDT

(Reuters) -Warner Bros Discovery is looking at additional opportunities for cost-cutting and raising prices for its Max streaming platform, Bloomberg News reported on Wednesday, citing people with knowledge of the matter.

The cost-cutting plans could include possible layoffs at the media company which has already eliminated more than 2,000 positions over the past year, according to the report.

The company's streaming business, which includes Max and Discovery+, could see hundreds of millions of dollars in budget cuts, mostly in marketing and technology, Bloomberg News reported.

Warner Bros Discovery has decided to raise subscription fees as it seeks to reach $1 billion in earnings from the Max and Discovery+ streaming services next year, the report said.

Max's starting price for U.S. subscribers is $9.99 a month for the ad-supported plan.

The company did not immediately respond to a Reuters request for comment.

Warner Bros Discovery has been impacted by the lingering effects of the twin Hollywood strikes last year and a weak advertising market.

The company has focused on reducing its debt burden and improve cash flow. It ended 2023 with $4.3 billion of cash in hand and $44.2 billion of gross debt.

Zaslav never met a cost that he couldn't cut! 🤣
 
Scott Gustin
@ScottGustin

Disney CEO Bob Iger will participate in a Q&A session at the MoffettNathanson Media and Communications Summit on Wednesday, May 15 at 9am ET. A livestream will be available on the $DIS investor site.
 
Disney Entertainment and Warner Bros. Discovery Announce Disney+, Hulu, Max Bundle

Today, Disney Entertainment and Warner Bros. Discovery announced a new streaming bundle that includes Disney+, Hulu and Max.

Beginning this Summer in the U.S., the streaming services will be offered together, providing subscribers with the best value in entertainment and an unprecedented selection of content from the biggest and most beloved brands in entertainment including ABC, CNN, DC, Discovery, Disney, Food Network, FX, HBO, HGTV, Hulu, Marvel, Pixar, Searchlight, Warner Bros., and many more.

The new bundle will be available for purchase on any of the three streaming platform’s websites and offered as both an ad-supported and ad-free plan.

“On the heels of the very successful launch of Hulu on Disney+, this new bundle with Max will offer subscribers even more choice and value,” said Joe Earley, President, Direct to Consumer, Disney Entertainment. “This incredible new partnership puts subscribers first, giving them access to blockbuster films, originals, and three massive libraries featuring the very best brands and entertainment in streaming today.”

“This new offering delivers for consumers the greatest collection of entertainment for the best value in streaming, and will help drive incremental subscribers and much stronger retention,” said JB Perrette, CEO and President, Global Streaming and Games, Warner Bros. Discovery. “Offering this unprecedented entertainment value for fans across all the complimentary genres these three services offer, presents a powerful new roadmap for the future of the industry.”

Additional details regarding the bundle offer will be shared in the coming months.
 
Disney Entertainment and Warner Bros. Discovery Announce Disney+, Hulu, Max Bundle

Today, Disney Entertainment and Warner Bros. Discovery announced a new streaming bundle that includes Disney+, Hulu and Max.

Beginning this Summer in the U.S., the streaming services will be offered together, providing subscribers with the best value in entertainment and an unprecedented selection of content from the biggest and most beloved brands in entertainment including ABC, CNN, DC, Discovery, Disney, Food Network, FX, HBO, HGTV, Hulu, Marvel, Pixar, Searchlight, Warner Bros., and many more.

The new bundle will be available for purchase on any of the three streaming platform’s websites and offered as both an ad-supported and ad-free plan.

“On the heels of the very successful launch of Hulu on Disney+, this new bundle with Max will offer subscribers even more choice and value,” said Joe Earley, President, Direct to Consumer, Disney Entertainment. “This incredible new partnership puts subscribers first, giving them access to blockbuster films, originals, and three massive libraries featuring the very best brands and entertainment in streaming today.”

“This new offering delivers for consumers the greatest collection of entertainment for the best value in streaming, and will help drive incremental subscribers and much stronger retention,” said JB Perrette, CEO and President, Global Streaming and Games, Warner Bros. Discovery. “Offering this unprecedented entertainment value for fans across all the complimentary genres these three services offer, presents a powerful new roadmap for the future of the industry.”

Additional details regarding the bundle offer will be shared in the coming months.
Soooo, what was the point of Disney’s purchase of Fox again? To give Disney+ a boost, or just to hoard more IP and sit on it?

This upcoming streaming bundle feels like it’s making said acquisition lose value. Disney might as well sell most of the acquired Fox IP/assets/catalog (some things, like X-Men, Deadpool, Fantastic Four, Avatar, National Geographic, and Hulu, provide value for Disney, so they can stay there), and give them to "new" Fox, as they could have an excuse to give Tubi a boost.
 
Soooo, what was the point of Disney’s purchase of Fox again? To give Disney+ a boost, or just to hoard more IP and sit on it?

This upcoming streaming bundle feels like it’s making said acquisition lose value. Disney might as well sell most of the acquired Fox IP/assets/catalog (some things, like X-Men, Deadpool, Fantastic Four, Avatar, National Geographic, and Hulu, provide value for Disney, so they can stay there), and give them to "new" Fox, as they could have an excuse to give Tubi a boost.
Fox shows are the primary reason why I’m still subscribed to the streaming bundle, to the point that if Disney offloaded them, I’d strongly consider cancelling the whole thing. There’s your value.
 
And better yet, they could go to the smaller players like Paramount, Peacock, Apple TV and offer to roll them into the package (just like the old days of Hulu). Make ESPN optional to keep the cost down.
OK, I think old Bob is really working his way back threw our thread for ideas - I pretty said bundling some of the also ran streamers was the way to go.

Bob we would appreciate at least a consulting fee!

https://www.disboards.com/threads/dis-shareholders-and-stock-info-only.3881254/post-64209599

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Fox shows are the primary reason why I’m still subscribed to the streaming bundle, to the point that if Disney offloaded them, I’d strongly consider cancelling the whole thing. There’s your value.
The Fox shows on Disney+ (the Hulu side) are third-party content from Fox Broadcasting (a part of "new" Fox Corp). They would still be there even if Disney sold the 21st Century Fox IP/assets/catalog (with the exceptions I stated in my previous post above; to "new" Fox).
 
https://www.nytimes.com/2024/05/08/business/media/sony-apollo-paramount-plan.html

Sony and Apollo’s Plan for Paramount: Break It Up
CBS and other well-known properties would be sold if Sony and Apollo were able to buy Paramount. But the new owners would keep the movie studio.

By Benjamin Mullin and Lauren Hirsch
May 8, 2024

Shari Redstone helped build Paramount Global into a media empire, but if Sony Pictures Entertainment and the private-equity giant Apollo Global Management succeed in acquiring it, they plan to break it all up, according to three people familiar with the matter.
The plan would include auctioning off CBS, cable channels like MTV and the Paramount Plus streaming service, said the people, who asked not to be identified sharing private details. Paramount Pictures — home to blockbusters like “The Godfather,” “Top Gun” and the “Mission: Impossible” franchise — would be combined with Sony’s business.

Sony and Apollo, which made a nonbinding expression of interest in acquiring Paramount for $26 billion last week, are also likely to keep Paramount’s library of films and TV shows and the rights to well-known characters, including the Teenage Mutant Ninja Turtles and SpongeBob SquarePants. They have not yet outlined this plan to Paramount or its advisers.

A breakup of Paramount would represent a major changing of the guard in the entertainment industry. CBS and Paramount have been controlled by the Redstone family for decades, since the media mogul Sumner Redstone assembled the conglomerate in a series of audacious deals. His daughter, Ms. Redstone, championed a 2019 deal to reunite it, and she remains Paramount’s controlling shareholder.

Sony and Apollo are now engaging with Paramount’s financial advisers on next steps in their proposal, the people said. The two companies have not yet signed formal nondisclosure agreements or begun due diligence reviews, a process that could take weeks.

Though it’s still early, the two bidders have already begun to envision how a deal for Paramount could unfold. The two would likely operate the company as a joint venture controlled by Sony, with a minority stake owned by Apollo, the people said. Sony would look to combine the marketing and distribution functions of the Paramount movie studio with its own operations, and divest the rest of the properties.

Over time, Apollo could sell its stake in the joint venture back to Sony or to another buyer. It’s not yet clear just how large a stake Apollo would hold in the business, though the company plans to invest billions in the deal, one person said.

A breakup of Paramount is not a preferred outcome for Ms. Redstone, who would prefer the company to pass on to another buyer intact, a person familiar with her thinking said. But it wouldn’t necessarily be a dealbreaker if the offer was compelling, the person said.
There are other suitors. Skydance, a media company founded by the tech scion David Ellison, has been in discussions with Paramount for months about a potential deal. Exclusive negotiations between Skydance and Paramount lapsed last week, shortly after Sony and Apollo put in their expression of interest. But Skydance remains interested.

Sony and Paramount have different approaches to the entertainment business, and a deal would probably result in a U-turn for Paramount. Unlike Paramount, which streams its content on Paramount+, Sony licenses its movies and TV shows to companies like Netflix and Disney. Sony would probably not change that approach in a deal with Paramount and would most likely look to combine Paramount+ with a rival service, such as Comcast’s Peacock or Warner Bros. Discovery’s Max.

Sony has long pursued Paramount’s movie studio. Several years ago, Sony executives reached out to Paramount to see if the company would be willing to sell Paramount Pictures or merge it into a joint venture, but Paramount signaled it was interested only in a deal for the whole company. So when Apollo made a bid for all of Paramount this year, Sony decided to team up.

Any deal by Sony would face regulatory hurdles. Regulations restrict foreign owners from holding licenses for U.S. broadcast stations, which could prevent Sony — which is owned by the Japanese-based Sony Group — from owning CBS-affiliated TV stations. But they could divest the stations immediately, or have Apollo apply for the license. They are also considering other options for the stations.
The deal would also most likely require clearance from the Committee on Foreign Investment in the United States, the panel in Washington that scrutinizes acquisitions by foreign owners.

Sony and Apollo believe that when they decide to sell the Paramount assets, there could be many logical buyers, the three sources said. Warner Bros. Discovery, which does not own a broadcast network, could be a suitor for CBS. TV station groups like Nexstar and Tegna could be logical buyers for CBS’s owned and operated TV stations.

The hardest asset to sell would most likely be Paramount’s cable networks, like MTV and Nickelodeon, but those could be sold to a TV programmer looking for greater scale in negotiations with cable companies like Charter and Comcast.
 
So I guess this sums up what some have recently said here - make a good movie and it won't matter if its new or old IP.

Case in point - I just posted Johnny's rant about Iger's never ending mining of IP a day or two ago, and the next day he has a rave review of 80th installment of Planet of the Apes!!

‘Kingdom of the Planet of the Apes’ review: Man, these monkeys still kick ***
By Johnny Oleksinski

https://nypost.com/2024/05/08/enter...apes-review-man-these-monkeys-still-kick-***/
 
Warner Bros. Discovery, which does not own a broadcast network, could be a suitor for CBS.
Really? WBD would take on even more debt to get into the ever shrinking broadcast network game?

And I don't understand what value a P+ has if Sony where to put it out to bid. Isn't it nothing more than a distribution system without the studio and CBS/other networks feeding it content?
 

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