Why you should care about Discovery and WarnerMedia merging
CNN
Discovery is an iconic brand in the cable world, as are CNN and HBO. Warner Bros., the home of franchises such as DC and Harry Potter, is one of the most influential studios in Hollywood. Now, all of those brands are coming together in hopes of not just surviving, but thriving in an media industry that is diving deeper into streaming.
On Monday morning, AT&T (T) and Discovery, Inc. sent shockwaves through the media and entertainment world when it announced a deal that spins off AT&T's WarnerMedia, which is the parent company of CNN, and combines it with Discovery (DISCB) in a new standalone company. The deal, which won't take effect until mid-2022, has the potential to create a media powerhouse — one that's not just capable of competing with Netflix (NFLX) and Disney (DIS), but could alter the streaming wars as we know it.
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