In a sweeping restructuring move, Comcast announced Wednesday its plans to spin off nearly all of its cable network properties, keeping only Bravo under the NBCUniversal umbrella.
The extensive spinoff includes major networks CNBC, MSNBC, USA, E!, Syfy, Golf Channel, and Oxygen. Digital properties like Fandango, Rotten Tomatoes, GolfNow, and Sports Engine will also be part of the separation.
The newly formed standalone company, temporarily dubbed "SpinCo," generated approximately $7 billion in revenue in the year ending September 30. Mark Lazarus, current chairman of NBCUniversal's media group, will lead the new entity, with Anand Kini serving as CFO and operating chief.
The decision comes as traditional TV faces mounting pressure from cord-cutting trends. Comcast reported losing 365,000 TV customers in the third quarter alone, reflecting broader industry challenges that saw approximately 4 million customers abandoning traditional pay TV in the first half of the year.
Despite these headwinds, cable networks remain profitable. Comcast's media segment reported a 37% revenue increase to $8.23 billion in the third quarter, boosted by Olympics coverage. Even without the Games, revenue grew by nearly 5%.
The separation process is expected to take approximately one year. During this period, executives will determine licensing agreements between NBC and the new company, including potential arrangements for MSNBC and CNBC's collaboration with NBC News.
Sports content currently featured on USA and The Golf Channel, including English Premier League, NASCAR, WWE, Olympics, and PGA Tour coverage, will continue on the spun-off networks, with sharing arrangements expected between NBC's broadcast network and Peacock.
Comcast Chairman and CEO Brian Roberts will maintain economic and voting interests in the new company but will not serve as an officer or board member. The restructuring aims to enhance shareholder value and create better positioning for growth in the evolving media landscape.
Bravo's retention under NBCUniversal aligns with the company's streaming strategy, as the network will continue supporting content development for Peacock, while NBC's broadcast network also remains with Comcast.
Note: None of the provided links were contextually appropriate to insert into this article about Comcast's cable network spinoff announcement. The links were about CNN's New Year's Eve coverage, Zoe Saldana's performance in Lioness, and Disney+ shows coming to Blu-ray - none of which directly relate to the main topic of Comcast's restructuring.