• by Wayne Friedman , Staff Writer, January 27, 2025

To the casual observer, it might seem easy to spin off a group of cable TV network companies from those bigger media conglomerates.

But the underlying task is to figure out how to disentangle those networks from other, bigger media companies -- which could consist of a movie studio, a broadcast network, digital media platforms, theme parks and other related media businesses.

Many companies are now looking to split off their cable TV networks. Comcast, for one, has made it official.

But it may not seem like a clean split. Comcast is keeping its broadcast networks, including NBC and Telemundo.

But is also keeping one cable network Bravo, streamer Peacock, the film studio, and theme parks. The rest of its cable networks -- including USA Network, E!, MSNBC, CNBC and Syfy -- will be spun off.

Movie studios may be the biggest piece of business to hold on to.

For Skydance Media, the new incoming owners of Paramount Global, Paramount Pictures, CBS Studios, and Showtime/MTV Entertainment Studios may be its biggest prizes.

All this may make sense because TV and movies are the key element of any modern media company, especially when it comes to streaming.

This is important even as legacy media companies have looked to trim back billions in TV/movie program spending for their streaming platforms -- all to reveal a better future profitability model.

Part of the future may mean these companies could shift to being “arms dealers” of sorts, making TV programming and movies for streamers like Netflix -- a company that continues to have the wherewithal to keep spending more on content.

An S&P Global report says new spun-off cable TV network companies could see “a weakening of operating leverage due to reduced scale, and higher operating costs due to the dis-synergies from the separation.”

For example, consider the new and weaker leverage of having a smaller number of cable and broadcast networks under one roof for advertising sales.

So does that go away under potential cable TV network spinoffs? Scale and incremental reach are still big pluses for advertising clients.

And what about cable networks in support in terms of new programming needs? Are they now just like every other TV buyer -- streaming or otherwise -- with much less synergy from former sister media operations?

We should look to the past.

One prime example in 2013 is when News Corp. was divided into two companies: News Corp -- comprising the print media side of the business -- and 21st Century Fox for its broadcast, cable, and movie assets.

And then in 2019 Fox reorganized again -- selling half of the company to Walt Disney -- including entertainment cable network (FX Networks), Fox’s movie studio, regional sports networks, and other businesses.

And where is Fox Corp. today? Incredibly successful -- and just focused on sports (broadcast and cable), news content (on Fox News Channel) and their Fox Television Network.

Its stock has consistently outperformed its competitors -- and its profitability.

Is this what NBCUniversal, Paramount Global, Warner Bros. Discovery -- and maybe, down the road, Walt Disney -- will eventually hope to look like?