Comcast to spin off MSNBC, USA Network, other cable channels
Comcast to spin off MSNBC, USA Network, other cable channels
Nearly all of Comcast’s cable portfolio is moving to the spun off entity, which will allow it to keep focusing its efforts on NBC and Peacock.
The future of television is continuing to unfold, and Comcast believes it’s time to unburden itself of some longtime assets. The company announced early Wednesday that it plans to spin off most of its cable channels into a separate business, which will help it focus its growth efforts on its broadcast network NBC, its streaming service Peacock, and its robust internet operations.
Key Details:
- All Comcast cable networks besides Bravo are being spun off into the new company.
- Comcast has dubbed the new company “SpinCo” for the time being.
- The company is already considering new streaming partnerships for Peacock.
Comcast says that it plans to spin off every cable network except the reality TV hub Bravo and its Spanish-language channel Telemundo into the new company; that means that CNBC, E!, Golf Channel, MSNBC, Oxygen, SYFY, and USA Network will comprise the new entity. The company plans to call the newly-formed entity “SpinCo,” and has staffed its leadership with industry veterans including Mark Lazarus and Donna Langley.
Comcast is not setting up SpinCo as a way to merely wall off its declining cable channels and protect its core business from those losses. It plans to seek investments and partnerships with others in the linear TV ecosystem, with Comcast CEO Brian Roberts promising it would have “significant financial resources” to work with.
“This transaction positions both SpinCo and NBCUniversal to play offense in a changing media landscape,” Comcast president Mike Cavanagh said. “Taken together, the entirety of NBCUniversal will be on a new growth trajectory, fueled by our world-class content, technology, IP, properties and talent – all working in concert with each other as an integrated media company.”
Comcast is also planning to fold some marquee digital assets into the newly launched SpinCo, including websites like Fandango and Rotten Tomatoes. The change will allow Comcast to think about the future of its company without giving undue consideration to a segment of its business that will likely continue to struggle as more and more consumers cut the cord. Now, it’s free to focus more of its development efforts on NBC and Peacock and leave its cable channels to take care of themselves.
Cavanaugh first floated the idea of spinning off Comcast’s cable channels in October, saying that the company would also be on the lookout for more streaming partnerships for Peacock. Comcast is sending a clear message about which parts of its business it considers central to its future with this spinoff, and streaming is a big part of those plans.
Peacock
Peacock is a subscription video streaming service from NBCUniversal that includes original shows, blockbuster movies, and classic television series. Peacock is home to “Yellowstone,” and “The Office,” as well as original hits like “Poker Face” and “Bel-Air.” You can also watch live sports including NFL, MLB, WWE, Olympics, Premier League, NASCAR, French Open, College Football and Basketball, and PGA Tour. Premium Plus subscribers can stream their local NBC feed in all 210 markets.