Disney Reorganizes Business To Reflect Streaming Ambitions
Disney Reorganizes Business To Reflect Streaming Ambitions
Left Richard Harbaugh right Valerie Macon both Getty Images
Kevin Mayer and Bob Chapek
15 March, 2018, 03:31
As part of a strategic reorganization, Disney is creating a new business unit focused on the company's direct-to-consumer video offerings.
Chief Strategy Officer Kevin Mayer was named chairman of the new direct-to-consumer and global business segment.
The company's advertising operations will also move out of the media networks division and be managed by the new direct-to-consumer segment. That segment will include the new upcoming Disney-branded streaming service and the ESPN+ streaming service.
On top of this action, Walt Disney's Parks & Resorts unit will combine with its Consumer Products operations for a new hew hub where Disney's stories, characters and franchises can come to life.
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On top of all that, all of Disney's worldwide channels and all global direct-to-consumer businesses will also be included in the new segment, under the eye of Mayer. Also, Bob Chapek was named Chairman of the Parks, Experiences and Consumer Products segment. Rounding out Disney's streaming portfolio will be Hulu, an established service that focuses on older viewers with programming that includes ABC shows. It is pulling its first-run movies from Netflix in 2019 to offer them on the Disney-branded service. The company's domestic TV networks and its film studio continue as separate divisions under their current management. Instead, he described the new structure as "strategically positioning our businesses for the future".
"We are combining the management of our direct-to-consumer distribution platforms, technology and global operations to deliver the entertainment and sports content consumers around the world want most, with more choice, personalization and convenience than ever before", Iger said in a statement.
The company is responding with its own digital push.
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