Streaming & Studios and Global Networks to operate independently from 2026
Warner Bros. Discovery has announced plans to separate into two independent, publicly listed companies by mid-2026. The move aims to sharpen strategic focus and improve long-term shareholder value, according to a company statement issued on June 9.
The planned separation will result in the creation of two businesses: Streaming & Studios, which will house the company’s film, television, and direct-to-consumer streaming operations, and Global Networks, which will focus on broadcast, cable, and digital channels including sports and news.
David Zaslav, President and CEO of Warner Bros. Discovery, will lead Streaming & Studios following the separation. Gunnar Wiedenfels, the current Chief Financial Officer, will become CEO of Global Networks. Both executives will remain in their current roles until the transition is complete.
Focused future for live sports and digital platforms
Global Networks will take ownership of sports-focused assets such as TNT Sports in the US, Discovery+, and Bleacher Report. The company stated these assets currently reach over 1.1 billion unique viewers in 200 countries, operating in 68 languages.
In a statement, Wiedenfels said the separation would support Global Networks’ efforts to expand international operations and enhance its digital platforms.
“We will focus on further identifying innovative ways to work with distribution partners to create value for both linear and streaming viewers globally,” he said.
The company also indicated that Global Networks would continue to invest in live content across sports and news, and retain a minority stake of up to 20% in Streaming & Studios to be monetised later.
Streaming business to focus on content scale and IP
Streaming & Studios will include brands such as HBO, HBO Max, DC Studios, and Warner Bros. Television and Motion Picture Group, along with gaming, retail, and physical studio operations. The unit will continue global expansion of HBO Max, currently active in 77 markets, with new launches expected in 2026.
Zaslav said the separation would allow both entities to operate with greater flexibility.
“By operating as two distinct and optimised companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively,” he said.
The division will prioritise scaling HBO Max and reaching a target of $3 billion in annual adjusted EBITDA.
Funding and timeline
The separation will be structured to be tax-free for US federal income tax purposes, subject to regulatory and board approvals. To support the transition, Warner Bros. Discovery has secured a $17.5 billion bridge loan facility from J.P. Morgan, which it expects to refinance before the separation is finalised.
Advisory support is being provided by J.P. Morgan and Evercore, with legal counsel from Kirkland & Ellis LLP.
In a separate release, the company announced it had launched a series of debt tender offers and consent solicitations to optimise its capital structure.
Chair of the board Samuel A. Di Piazza, Jr. said: “This announcement reflects the board’s ongoing efforts to evaluate and pursue opportunities that enhance shareholder value.”
