According to CNN, Bob Iger, the Chief Executive of Disney, hinted to David Faber from CNBC that Disney’s “linear business” may not be key business model anymore. This means that Disney is rethinking traditional television broadcasts, such as ABC, FX, the Disney Channel, and National Geographic. Staff of the Disney General Entertainment Content division informed CNN that they were feeling concerned as Iger did not elaborate at first.
However, Iger attempted to ease these concerns through a meeting on Tuesday, July 18th. He answered various questions from company leaders. As CNN notes, an inside source claimed that Iger stated that the traditional television teams are “incredibly valuable to our business.”
Iger continued to explain, “I’m ridiculously passionate about news, it’s important to this company. We need to figure out how it makes the transition into streaming. And I happen to believe we will endure. It’s too good, it’s too important, and it’s really fun.”
From these statements, Iger seems to be acknowledging and praising traditional television broadcasts. However, they may need to rethink the importance of these assets for the company of Disney.
Additionally, a Disney insider summed the meeting up and told CNN that Iger’s statements were “the usual jewel in the crown stuff — except now we know that he’s selling the jewel.”
The Disney insider continued, “It’s great to say he loves the jewel. It’s great to say that the jewel is important. It’s great to say that the jewel is fun. But he has revealed the truth: he wants to get the highest price he can for the jewel because he can’t afford it anymore.”
Despite these statements and the praise towards traditional television networks, Iger’s statements continue to worry the Disney General Entertainment Content division. Now, some speculate that these T.V. broadcasts and other Disney assets may be sold to another company.