Comcast (CMCSA, Financial) is reportedly planning to spin off its cable channels, including MSNBC, CNBC, and USA, to reduce exposure to the declining audience and advertisers in this segment. The NBC broadcast network and Peacock streaming service will remain with the parent company, as will Bravo, known for its popular reality shows on streaming platforms.
The newly spun-off entity is expected to generate annual revenue of approximately $7 billion. Mark Lazarus, the current chairman of NBCUniversal Media Group responsible for TV and streaming operations, will serve as the CEO of the new company.
Comcast is also planning management changes to expand the responsibilities of two senior leaders. Donna Langley, NBC's Chief Content Officer, will become the Chairperson of NBCUniversal Entertainment and Studios. Meanwhile, Matt Strauss, who oversees the company's direct-to-consumer streaming business, will assume Lazarus’s former position.
In October, Comcast indicated its consideration of the spin-off, which will be allocated to existing shareholders and will be well-capitalized to acquire related assets. During a call with analysts, President Michael Cavanagh expressed optimism about leveraging their strong assets and balance sheet for potential strategic opportunities.
