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This week in advertising: Media giants reorg, ad reviews pick up, and Disrupter Media’s departure from traditional media.
Bob Chapek announces a line-up of new attractions and experiences at D23 2017.
Disney/Image Group LA
Disney and NBCUniversal made big leadership changes this week to adjust their business operations to the pandemic. A few thoughts about who the winners are of all this:
The content. With its theme park and cinema businesses tanking, Disney had to double down on its streaming business that includes Disney Plus, Hulu and ESPN Plus. That puts the intellectual property that fuels it and the executives behind it center stage.
Data and commerce. One of NBCU ad boss Linda Yaccarino’s new tasks
The Walt Disney Company announced a broad structural reorganization of its media and entertainment businesses Monday, in a move to ramp up and streamline its direct-to-consumer strategy. That involves the creation of the new Media and Entertainment Distribution group, which will oversee all content monetization and streaming operations. Kareem Daniel, most recently president of consumer products, games and publishing at Disney, will lead the unit.
The move comes just under a year after the launch of Disney Plus, which has since surpassed the 60 million subscriber mark.
Under the new structure, the studios will continue to develop and produce originals for Disney’s streaming services — which include Disney Plus, Hulu and ESPN Plus — and legacy platforms. Distribution and commercialization will now be centralized under the Media and Entertainment Distribution group.
“Given the incredible success of Disney+ and our plans to accelerate our direct-to-consumer business, we are strategically positioning our
Disney announced a major reorganization of its media and entertainment business on Monday to “further accelerate” its streaming strategy.
The company’s stock was up about 5% in after hours trading following the news.
“This is further proof that the direct to consumer model is not only well received, but more critical than ever to Disney’s future,” said Trip Miller, a Disney investor and managing partner at hedge fund Gullane Capital Partners. “These moves will not only result in higher quality content, and focused distribution, but allow the company to streamline corporate complexity and hopefully lower expenses.”
Miller also said that this move will allow Disney to further monetize in demand content and possibly “make up
Emboldened by the success of Disney+, Walt Disney Co. is reorganizing its massive entertainment and media operations to focus on creating content for its streaming services in a major effort to accelerate its direct-to-consumer strategy, the company said Monday.
Under the new corporate structure, Disney’s media and entertainment units will be organized into content businesses that produce its movies, TV shows and sports in addition to an equally important and newly created group to distribute that content through traditional channels as well as its streaming services, such as Disney+, Hulu and ESPN+.
The restructured Disney will have three distinct content arms: Studios, run by Walt Disney Studios co-chairs Alan Horn and Alan Bergman; General Entertainment, run by media networks chairman Peter Rice; and Sports, headed by ESPN chief James Pitaro.
“Studios: Messrs. Horn and Bergman will serve as Chairmen, Studios Content, which will focus on creating branded theatrical and episodic content based on the Company’s powerhouse franchises for theatrical exhibition, Disney+ and the Company’s other streaming services. The group will include the content engines of The Walt Disney Studios, including Disney live action and Walt Disney Animation Studios, Pixar Animation Studios, Marvel Studios, Lucasfilm, 20th Century Studios and Searchlight Pictures.
General Entertainment: Mr. Rice will serve as Chairman, General Entertainment Content, which will focus on creating general entertainment episodic and original long-form content for the Company’s streaming platforms and its cable and broadcast networks. The group will include the content engines of 20th Television, ABC Signature and Touchstone Television; ABC News; Disney Channels; Freeform; FX; and National Geographic.
Sports: Mr. Pitaro will serve as Chairman, ESPN and Sports Content, which will focus on ESPN’s live sports programming, as well
New Structure Designed to Further Accelerate the Company’s Direct-to-Consumer Strategy, in light of the Rapid Success of Disney+
Company’s Creative Engines Will Focus on Producing Content for DTC as well as Legacy Platforms, while Newly Centralized Distribution Group Will Oversee Commercialization and Distribution of All Content Globally
Alan F. Horn and Alan Bergman, Peter Rice, and James Pitaro Will Lead the Company’s Three Content Creation Groups
Kareem Daniel Named Chairman, Media and Entertainment Distribution, Which Will Include the Company’s Streaming Services, Led by Rebecca Campbell
Disney Sets December 10 as Date for Virtual Investor Day
In light of the tremendous success achieved to date in the Company’s direct-to-consumer business and to further accelerate its DTC strategy, The Walt Disney Company (NYSE: DIS) today announced a strategic reorganization of its media and entertainment businesses. Under the new structure, Disney’s world-class creative engines will focus on developing and producing original content for
Disney’s “Mulan” was intended to be a big hit globally, particularly in mainland China, but the film’s troubles, and by extension Disney’s, would begin long before the film was ever released.
One of the first incidents was when lead actor Liu Yifei voiced support on social media for the Hong Kong police during the city’s pro-democracy protests. Then came numerous release delays and eventually a straight-to-streaming release in the United States due to the COVID-19 pandemic.
The latest incident was the revelation, in the film’s credits, that parts of the film were shot in Xinjiang, a province in China that has become notorious for being the region where Uighur Muslims — a Turkic-speaking ethnic minority — live under a brutal system of oppression and human rights abuses. In the credits the makers of the film also thank governmental bodies, including a police bureau that is on a U.S.