Disney in Talks to Sell ABC: Shifting Focus to Streaming

Da Mouse House Sellin’ ABC?! 🐭📺

Eh, you guys, you won’t believe dis one! Disney stay talkin’ fo’ sell ABC to Nexstar, like Bloomberg wen first spill da beans. Bob Iger stay on one mission to slim down Disney and put all his chips on da streaming table. But even if he can offload dis shrinkin’ asset, get ready ’cause da CEO still gotta deal wit’ some headaches.

So, wassup, brah? Disney stay choppin’ it up wit’ Nexstar Media Group, da biggest TV station owner in da country, fo’ sell da ABC network and all dem stations. Bloomberg wen talk to people in da know, and dey say dis could be da big shakeup in da broadcast game.

But hold on a sec, da Disney peeps say, “Ho, we open to look at all kine options for our regular TV stuff, but right now, we neva make up our minds about ditchin’ ABC or any odda stuff, and anybody sayin’ otherwise, dey talkin’ nonsense!” Dat’s what one Disney spokesperson wen shoot back in response to da report.

But wait, get more! Bloomberg wen drop anudda bombshell latah, sayin’ Byron Allen, da big shot from Allen Media Group, offa $10 billion fo’ buy ABC, plus grab FX and National Geographic while he at it.

Dese talks show us one ting: Iger ain’t messin’ around when it come to Disney’s streaming future, you know. He wen raise eyebrows back in July, at Sun Valley, when he wen let it slip dat everyting stay on da table fo’ ABC. He wen say, “We gotta stay open-minded and look at da future of dese businesses. Dey might not be da heart of Disney no mo’.”

Dis wen freak everybody out inside Disney, CNN wen say people stay stressin’ over dis. Den, in August, Iger wen say it loud and clear – Disney goin’ all in on streaming, ESPN, movies, and theme parks.

Media guru Peter Csathy, da guy who know all about mergers and acquisitions, he wen say, “Dis not shocker, ’cause Disney stay tryna get rid of stuff dat ain’t core, and when da stock stay strugglin’ like Disney’s been, gotta let go of da good stuff to save some cash. Dis deal, it fit right in.”

But dis move fo’ sell ABC, dat one mean somethin’ special. Iger wen start his Disney career right dere at ABC, workin’ on da TV sets first, then movin’ up da ladder till he became da big boss. He always wen love dis part of da company.

But da money just ain’t flowin’ in, you know. Fo’ da first nine months of da year, Disney’s regular TV, includin’ ABC, stay only makin’ $5 billion, and dat’s 27% less den da year before. In da third quarter, Disney wen point da finga right at ABC, sayin’ dey stay strugglin’, losin’ ads and viewers.

Plus, all dis TV stuff stay givin’ Disney one major headache, especially wen dey wen beef wit’ Charter over da money dey owe.

But on da odda hand, Disney’s streaming side stay on da rise. Disney’s own direct-to-consumer business stay losin’ $2.2 billion for da first nine months, but dat’s 12% less den da year before. Hulu and Disney+ stay pullin’ in mo’ subscribers in da third quarter.

So, da numbers stay pointin’ Iger in one direction, sayin’ he gotta cut loose ABC and put all his chips on streaming. But even if he can make da sale, he still gotta deal wit’ some heavy stuff.

First, get Hulu on da table. In da next few months, Iger gotta talk story wit’ Brian Roberts and try to buy Comcast’s share of Hulu. But dat ain’t gonna be cheap, bruddah. Da plan is to mix Hulu and Disney+, but neither one stay makin’ money, and figgurin’ out how fo’ stop da bleeding, dat’s da big question.

And den, ESPN, oh boy, dat’s one sticky situation. Iger don’t seem too eager to let go of it. We all know sports stay worth some serious cash, but people get all kine ideas on how fo’ share it wit’ da world. Some say make one direct-to-consumer streamin’ ting, while oddas say make ESPN its own company.

But if Disney sell ABC to Nexstar, dat might get tricky. Bloomberg’s sources say ABC share plenny sports shows wit’ ESPN. And Nexstar, dey stay all in on sports programming too. ABC TV, dey get “Monday Night Football,” NBA Finals, NHL, and plenny mo’. So, if dey sell, da sports shows probably gotta go wit’ it to make da sports guys happy.

One industry insider, who stay in da know, said, “Da sports stuff, dat’s da big draw fo’ ABC TV nowadays.”

So, what’s da bottom line, you ask? We gettin’ one big lesson here: regular TV, it’s on da way out, streaming, it ain’t easy money like people thought, and ESPN, well, dat one’s like one hot potato.

NOW IN ENGLISH

Disney in Talks to Sell ABC: Shifting Focus to Streaming

“Is Disney Selling ABC?”

Hey there, folks! You won’t believe this one. Disney is reportedly in talks to sell ABC to Nexstar, as first reported by Bloomberg. Bob Iger is on a mission to streamline Disney and focus on the streaming game, but even if they manage to offload this shrinking asset, there are still some challenges ahead for the CEO.

So, what’s the scoop? Disney is in discussions with Nexstar Media Group, the largest TV station owner in the country, to potentially sell the ABC network and all its affiliated stations. Bloomberg has spoken to insiders, suggesting that this could be a significant shakeup in the broadcast industry.

However, hold on a moment. Disney representatives have stated, “We are open to exploring various options for our traditional TV assets, but as of now, we have not made any decisions to part ways with ABC or any other properties, and anyone suggesting otherwise is spreading misinformation.” This was the response from a Disney spokesperson to the report.

But wait, there’s more! Bloomberg dropped another bombshell, reporting that Byron Allen, the big shot from Allen Media Group, has offered $10 billion to buy ABC and is also eyeing FX and National Geographic.

These discussions reveal one thing: Iger is not taking Disney’s streaming future lightly. He raised eyebrows back in July when he hinted at Sun Valley that everything related to ABC was on the table. He said, “We need to stay open-minded and consider the future of these businesses. They may no longer be the heart of Disney.”

This caused quite a stir within Disney, with CNN reporting that people were stressed over the situation. Then, in August, Iger made it clear that Disney was going all-in on streaming, ESPN, movies, and theme parks.

Media expert Peter Csathy, well-versed in mergers and acquisitions, commented, “This is not a shocker because Disney is trying to shed non-core assets, and when the stock is struggling as Disney’s has been, you have to let go of valuable assets to save some cash. This deal fits right in.”

But the move to sell ABC holds special significance. Iger started his Disney career at ABC, working on TV sets before climbing the corporate ladder to become the top boss. He has always had a soft spot for this part of the company.

However, the money just isn’t flowing in as it used to. For the first nine months of the year, Disney’s traditional TV, including ABC, only generated $5 billion, a 27% decrease from the previous year. In the third quarter, Disney pointed the finger at ABC, citing struggles and declining ad revenue and viewership.

Additionally, Disney’s traditional TV assets have caused major headaches, particularly in disputes with Charter over owed payments.

On the flip side, Disney’s streaming business is on the rise. Disney’s direct-to-consumer segment lost $2.2 billion for the first nine months, but that’s a 12% improvement compared to the previous year. Hulu and Disney+ have been gaining more subscribers in the third quarter.

So, the numbers are pushing Iger in one direction: shedding ABC and going all-in on streaming. But even if a sale is successful, there are still significant challenges ahead.

First up is Hulu. In the coming months, Iger needs to negotiate with Brian Roberts to buy Comcast’s share of Hulu. But it won’t come cheap. The plan is to merge Hulu and Disney+, but neither is currently profitable, and finding a solution to stop the losses remains a big question.

And then there’s ESPN, a sticky situation. Iger doesn’t seem eager to part ways with it. Sports content is valuable, but there are different ideas on how to distribute it globally. Some suggest creating a direct-to-consumer streaming service, while others propose spinning off ESPN into its own company.

However, if Disney sells ABC to Nexstar, it might complicate matters. Bloomberg’s sources suggest that ABC shares many sports shows with ESPN, and Nexstar is also heavily invested in sports programming. ABC TV holds rights to “Monday Night Football,” NBA Finals, NHL, and more. So, if they sell, the sports content may have to go with it to appease sports enthusiasts.

One industry insider with inside knowledge commented, “The sports content is a major draw for ABC TV these days.”

So, what’s the bottom line here? We’re learning some valuable lessons: traditional TV is on the decline, streaming isn’t the easy money people thought it would be, and ESPN is a hot potato in the entertainment industry.