Disney Moves to Reorganize Entertainment Operations
October 12 2020 - 4:52PM
Dow Jones News
By Joe Flint
Walt Disney Co. said it is reorganizing its operations to give
priority to its streaming video businesses, creating new units that
will produce content for digital and traditional platforms, in a
shift that echoes similar moves by other entertainment giants.
Under the new structure, Disney is creating content groups for
its major film franchises, general entertainment and sports, as
well as a distribution arm that will determine the best platform
for a movie or television show.
"Our creative teams will concentrate on what they do best --
making world-class, franchise-based content -- while our newly
centralized global distribution team will focus on delivering and
monetizing that content in the most optimal way across all
platforms, Disney Chief Executive Bob Chapek said in a
statement.
The new alignment pushes Disney's streaming platforms, including
Disney+ and Hulu, even closer to the center of the company. The
various programming arms, including movie and television studios,
will be focusing their efforts on feeding those streaming services,
not just movie theaters and TV networks.
Disney is the latest entertainment giant to attempt to reorient
its businesses to separate decisions about what content is being
made from which platform is best suited to run them. Comcast
Corp.'s NBCUniversal has restructured much of its content business
with this goal in mind and AT&T's WarnerMedia is also
centralizing its creative operations. Both those companies are also
giving priority to their new streaming services, Peacock and HBO
Max, respectively.
The current heads of Disney's studio division, Disney Studios
Co-Chairmen Alan Horn and Alan Bergman, will oversee the movie
content arm. Peter Rice, who oversees TV production for Disney,
will become chairman of general entertainment content, while ESPN
head Jimmy Pitaro will head the sports unit and report to Mr.
Chapek.
Write to Joe Flint at joe.flint@wsj.com
(END) Dow Jones Newswires
October 12, 2020 16:37 ET (20:37 GMT)
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