Key Points
- Disney is planning a major restructuring of its television operations that is expected to eliminate hundreds of jobs and consolidate several currently separate divisions.
- A central goal is to organize Disney’s television business around streaming rather than individual brands and structures created for linear television.
- Disney Entertainment Television currently encompasses ABC Entertainment, 20th Television, Hulu Originals, Disney Kids & Family, National Geographic Content, Freeform and ABC News.
The Walt Disney Company is preparing a significant restructuring of its television operations that is expected to consolidate several divisions and eliminate hundreds of jobs as the entertainment company increasingly organizes its business around streaming.
The reorganization is being spearheaded by Disney Entertainment Television Chairman Debra OConnell and remains under development, with final details potentially not coming until later this year, according to the Wall Street Journal.
A primary goal is to move away from organizational structures built around individual linear television brands and create a more centralized television operation aligned with how viewers consume programming through streaming.
Disney President and Chief Creative Officer Dana Walden said Thursday that the company is taking divisions historically operated separately and “centralizing as a television business, not a bunch of silos.”
Disney Entertainment Television currently encompasses ABC Entertainment, 20th Television, Hulu Originals, Disney Kids & Family, National Geographic Content and Freeform, among other operations. Many maintain separate executives responsible for developing and producing programming for Disney Plus, Hulu, Disney’s linear television networks and third-party outlets.
The restructuring is expected to affect some executives overseeing those businesses. Additional reductions are also anticipated at ABC News, which falls under OConnell’s organization.
The changes are part of a broader streamlining effort under CEO Josh D’Amaro, who took over Disney in March. Layoffs have already affected marketing, Pixar, ABC News and ESPN. Disney eliminated more than 300 additional positions Tuesday, primarily in human resources and information technology.
Disney’s legal and global affairs operation is also preparing for reductions. Chief Legal and Global Affairs Officer Horacio Gutierrez recently told employees the roughly 1,000-person organization will become “a much smaller organization,” citing advances in automation.
Disney launched a voluntary early-retirement program in August targeting executives age 50 and older with at least 10 years at the company. Executives waited to evaluate participation in that program before proceeding with portions of the television restructuring.
D’Amaro has simultaneously elevated streaming and technology within Disney’s senior leadership, naming former YouTube executive Adam Smith Chairman of Streaming and Karandeep Anand to the newly -created position of Chief Technology Officer.
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