How much content has Warner Bros cancelled? After Discovery’s merger with WarnerMedia just a few months ago? It costs 825 million dollars.
The company revealed in a regulatory filing on Friday that it had an $825 million reduction in content following the deal. This figure includes a content reduction charge of $496 million as well as a content development reduction of $329 million.
“Content deterioration and slow development were the result of a post-merger global strategic content review,” the company said in a statement.
The loss and write-downs were spread across the company’s studio business (which includes film and television studios), network business (which includes linear television networks) and DTC business, which includes streaming services like HBO Max and Discovery+. . Content deficiencies included shows that had already been developed or were in production, while development cancellations were for content that was still in development.
And that dramatic number probably doesn’t include bat girl any Scoob!: Vacation spot, two movies that were scheduled to debut on the streaming platform HBO Max until this week. (These movies are expected to be accounted for in the next quarter.) However, it does contain a movie-related record. wonderful twinsAnother DC project for HBO Max that was in pre-production was wrapped up in May before the end of Q2.
filmmakers bat girl They were told the project would not go ahead earlier this month, although post-production was underway. Company sources indicated it intended to keep the film for tax purposes, and filings released on Friday would support that.
The second quarter reduction is expected to include several programs cut on TBS and TNT, as well as costs related to CNN+, the ill-fated streaming service that WBD shut down just weeks after launch. The release also noted that the company incurred $208 million in employee termination costs during the quarter.
TBS and TNT significantly reduced programming after the merger, focusing on sports and unscripted fares. TBS cut sitcoms come down (who has already finished production for his season), Front Samantha complete with beeand Tracy Morgan the last GOAnd TNT announced the end date. Snowman. Script development was halted on both networks, and the company decided not to renew its contract to broadcast the SAG Awards.
On the company’s earnings call on Thursday, WBD’s head of broadcasting JB Perrette said that children and animated content for linear broadcast and streaming, movies and live shows for TBS and TNT are most responsible for the recalibration. content, “spend content content. [Turner] It shows that he couldn’t generate enough ratings or additional monetization potential.”
WBD, led by CEO David Zaslav and CFO Gunnar Wiedenfels, said it is seeking about $3 billion in cost savings over the next few years related to the merger. Those savings will come in the form of tech systems and office mergers, as well as redundancies, though a review of how and where it spends money on content is also clearly part of the plan.
“Having content that really resonates with people is way more important than having a lot of content,” Zaslav said of the company’s earnings call on Thursday.
“We will continue to invest in healthy content, but in combining these two content portfolios, we see smart opportunities to do so at a much more moderate pace than in previous plans,” added Perrett. “These are tough decisions, but we are committed to being disciplined with a framework that guides our investment in content for maximum return.”
Source: Hollywood Reporter
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
