Warner Bros. Discovery Layoffs Amid Debt Burden

Warner Bros. Discovery (WBD) is implementing a new wave of layoffs, affecting around 1,000 employees primarily in finance, business affairs, production, and the Max streaming platform. The media giant, led by CEO David Zaslav, is exploring strategic options to boost its sagging stock price, including potentially splitting its digital streaming and studio operations from its traditional television networks. This restructuring aims to alleviate the company's $39 billion debt burden and enhance shareholder value as WBD's stock has plummeted nearly 70% since its 2022 merger. Informal talks have been held with advisors to rival media companies to explore mergers and acquisitions. The company has not yet hired an investment bank to pursue any specific transactions. The layoffs and strategic considerations come amid broader industry challenges, including declining cable TV viewership, high streaming costs, and Hollywood strikes.