WarnerMediaLatest News and Opinion
Posted Wednesday 10/17/18 at 3:23PM EDT
Netflix is dominating streaming by spending $18.6 billion on content
Source: The New York Times
"That’s why investors are mad for Netflix," explains Edmund Lee of Netflix's outsize spending that's far more than traditional companies like Disney and NBCUniversal. "They’re betting on its unorthodox media model: spend big now and reap a massive subscriber base (and big profits) later. Possibly much later. The service’s current tally of 130 million customers beat Wall Street estimates, but investors are ultimately counting on 300 million, or more. The size of that number explains why Netflix is valued so highly relative to other entertainment businesses. The company’s market capitalization currently stands at approximately $156 billion. Disney, by comparison, is valued at about $174 billion. Those figures look out of whack when comparing the size of the companies. Netflix had $14.9 billion in revenue and $1.3 billion in profit for the last 12 months. Disney generated $58 billion in revenue and $10.1 billion in profit for the 12 months ending June 30...In other words, Disney made eight times more money than Netflix, but it’s only worth about 12 percent more. Another way to consider it: Netflix investors are paying about $120 for every $1 of profit it generates. For Disney, investors are paying about $17."
Posted Tuesday 10/16/18 at 9:10PM EDT
How will the loss of Friends impact Netflix?
Thanks to Netflix, Friends still has massive viewership in the United States and Britain. But the classic NBC sitcom is likely to disappear from Netflix next year as WarnerMedia launches its own streaming service, leaving a giant hole in Netflix's content library.
Posted Wednesday 10/10/18 at 1:29PM EDT
A WarnerMedia streaming service featuring HBO is set to launch in late 2019
Source: The Hollywood Reporter
The new streaming service will include WarnerMedia entertainment brands, excluding CNN. HBO will be part of the service, but it will continue to be sold as a standalone subscription.
Posted Wednesday 7/25/18 at 3:24AM EDT
HBO's new overseer from AT&T confirms he wants more programming from the pay cable network
But WarnerMedia CEO John Stankey says a recent New York Times story on his plans for HBO, which implied that he wanted it to become broad and compete with Netflix, had not “effectively characterized what we are about." Stankey said he would pursue "a very responsible investment" in new shows at HBO. The team at HBO “feels comfortable that we can flex up on development in a way that rounds out the schedule very nicely,” Stankey said during an AT&T earnings call, adding: "We have a tremendous amount of great projects already in the funnel." ALSO: Stankey wants to have enough content so HBO subscribers don't cancel for parts of the year.
Posted Friday 6/15/18 at 10:55PM EDT
AT&T executive taking over HBO, TBS, TNT and CNN promises a hands-off approach -- even when it comes to Samantha Bee and Bill Maher
Source: The New York Times
AT&T's John Stankey, 55, is now in charge of the $31 billion conglomerate that comprises Warner Bros. film studios, Turner and HBO as part of the AT&T-Time Warner merger. The company is changing its name to WarnerMedia. Stankey says he'll take a hands-off approach to the creative side of WarnerMedia. When asked about President Trump constantly attacking CNN, Stankey said: "Well, first of all the folks at CNN will continue to do what they do without my involvement or intervention. I think they do that incredibly very well, and they will continue to do that under my leadership just like they did the day before I showed up here." When asked about Bee and Maher -- and her recent Full Frontal controversy -- Stankey said his networks will continue having the same freedom they currently enjoy. "People who are running the creative process are professionals at running the creative process," he says. "I don’t believe that AT&T — the historical AT&T — by its nature brings much capability or intellectual property to do that better." ALSO: AT&T plans to give HBO a bigger budget to compete with Netflix.