Warner Bros. Discovery to split into two public companies by next year in major industry shakeup

Warner Bros. Discovery (WBD) - the media conglomerate announced Monday that it will split into two separate public companies by mid-2026, according to media reports.

One of the new entities will focus on streaming and audio operations, housing marquee assets like HBO Max and Warner Bros.' storied movie properties. The second will become a global networks company, comprising businesses such as CNN, TNT Sports, and Discovery Channel.

Also Read: Warner Bros. Discovery splits linear business, restructures for future challenges

WBD's current CEO David Zaslav will helm the streaming and studios company, while CFO Gunnar Wiedenfels is slated to lead the global networks business, the report added.

“By operating as two distinct and optimized companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” Zaslav said in a release.

The announcement follows months of speculation and industry chatter. Last December, Warner Bros. Discovery's internal restructuring signalled the possibility of a full break, a scenario now confirmed, the report added.

The move also mirrors industry trends: Comcast, for instance, is spinning out its cable networks - including CNBC - into a new public company called Versant, further driving a wave of sector realignment.

News of the planned split sent WBD shares surging more than 9% in premarket trading Monday, the report added.

Also Read: Warner Bros. Discovery revives HBO Max name in strategic rebrand