Warner Bros. Discovery to Split into Two Companies by 2026

Warner Bros. Discovery has announced it will be splitting into two independent companies by mid-2026. This move is intended to streamline operations and allow each business to focus more directly on its core strengths in a rapidly evolving media landscape.

The first company will focus on Streaming & Studios this includes Warner Bros. Television and Pictures, HBO, HBO Max, DC Studios, WB Games, and the studio’s expansive library of film and TV content. The second company, called Global Networks, will handle traditional media holdings such as CNN, TNT Sports, Discovery, Discovery+, and other broadcast and cable networks.

WBD CEO David Zaslav will oversee the new Streaming & Studios company, while current CFO Gunnar Wiedenfels will lead the Global Networks division.

The decision to split comes in response to a significant decline in linear TV revenues. While its streaming services continue to grow, the dual focus has made it difficult for the company to fully commit to one direction. By splitting the business, WBD aims to focus each division individually, operate with a clearer strategic path, and respond more nimbly to market demands.

According to reports, the Global Networks arm will retain up to a 20% stake in the newly separated Streaming & Studios business. This structure could provide financial stability while helping to reduce overall debt burdens—something investors have been pushing for, especially following a 10% revenue decline earlier this year.

Wall Street responded positively to the announcement, with WBD shares rising by over 8% shortly after the news broke. Analysts see the move as a smart strategy, mirroring recent decisions by other media giants like Comcast, which spun off its cable networks to better support its streaming ventures.

This restructuring will bring major changes to the streaming market. It marks a turning point in Discovery’s history and signals a more focused future for both segments of its business. It also sets the stage for more aggressive competition in the streaming wars, as WBD prepares to battle heavyweights like Netflix, Disney+, and Amazon Prime with renewed focus.

The split is expected to be completed by mid-2026, pending regulatory approvals and internal restructuring.