Comcast to spin off cable TV networks as ‘streaming won’

Pool of cable subscribers is shrinking as millions cut the cord and rely on streaming services for their entertainment.

Comcast will spin off many of its cable television networks that were once at the heart of the entertainment giant as people increasingly swap out their cable TV subscriptions for streaming platforms.

Those one-time stars of Comcast’s NBCUniversal cable television networks include USA, Oxygen, E!, SYFY and the Golf Channel as well as CNBC and MSNBC. The movie-ticketing platform Fandango and the Rotten Tomatoes movie rating site are also to become part of the new company, Comcast said on Wednesday.

The Peacock streaming service will remain with Comcast as will Bravo, which provides significant content for Peacock. The streaming service was launched in 2020 and after a confusing, glitchy start has taken off recently, boosted in part by its popularity during the 2024 Paris Olympic Games.

Comcast telegraphed the potential shift last month as it released quarterly earnings before confirming on Wednesday that it will spin off assets that generated about $7bn in revenue over the past 12 months ending on September 30. That’s about 5.5 percent of Comcast’s total revenue during that period, it said.

But there is a shrinking pool of cable subscribers as millions of customers cut the cord and rely increasingly on streaming platforms for entertainment.