Amid the economic turmoil the coronavirus pandemic has wreaked across industries including travel and entertainment, the Walt Disney Company is reorganizing its media and entertainment businesses.
The revised structure will include a new media and entertainment distribution group that handles all content Disney produces, whether it’s for theaters, TV or streaming.
Capitalizing on the growing success of its streaming services, especially Disney+, the company will organize its holdings into three media and entertainment content groups – Studios, General Entertainment and Sports. Studios will include Disney, Pixar, Marvel, Lucasfilm and other theatrical and TV content for theaters and streaming services; General Entertainment handles series and long-form content on streaming services and TV networks (Fox; ABC News, Disney channels), and Sports will focus on ESPN and ABC programming.
“Given the incredible success of Disney+ and our plans to accelerate our direct-to-consumer business, we are strategically positioning our Company to more effectively support our growth strategy and increase shareholder value,” said CEO Bob Chapek in an announcement Monday.
Chapek was named CEO in February. Executive Chairman Bob Iger will continue to direct Disney’s “creative endeavors,” the company said.
This shift will streamline Disney’s content pipeline “whether you are talking about linear television or studio or streaming,” said CFRA Research stock analyst Tuna Amobi, who tracks Disney.