NEWSCNN Faces Uncertain Future as Warner Bros. Discovery Splits, Top Talent's Jobs at Risk
Warner Bros. Discovery's split into two companies put CNN's future in the balance.
June 18 2025, Published 8:03 a.m. ET
Warner Bros. Discovery's unexpected split into two distinct companies poses a significant threat to the jobs and substantial salaries of CNN's leading talent, insiders warned.
The media conglomerate announced last week it will divide into two publicly traded entities — Streaming & Studios and Global Networks — by mid-2026. Streaming & Studios will oversee Warner Bros. Television, Warner Bros. Motion Picture Group, DC Studios, HBO and HBO Max. In contrast, Global Networks will focus on news programming, including CNN and TNT Sports.
CEO David Zaslav will lead Streaming & Studios while CFO Gunnar Wiedenfels will become the President of Global Networks. This seismic shift could severely impact CNN, which is already struggling with dwindling ratings.
CNN might reassess people's salaries.
"Inevitably, Gunnar will look at CNN and decide he can maintain relatively similar profits at a mere fraction of the cost," Dylan Byers, a former CNN reporter and Puck contributor, wrote in an opinion piece. "Why, for instance, would Gunnar pay Anderson Cooper $18 million a year when Kaitlan Collins draws the same ratings at roughly a fifth of the salary?"
Cooper reportedly rakes in about $18 million annually, and media insiders are raising alarms about the fate of CNN's high-salaried stars. An anonymous source shared with Fox News that there are "tears on the horizon." They predict Wiedenfels will reassess salaries, possibly going against the precedent set by former CNN chief Jeff Zucker, who was pushed out before the 2022 merger.
Critics questioned why CNN would continue paying top stars like Anderson Cooper $18 million.
"It's not just the overpriced talent. It's the overpriced producers. The overpriced executives. The superfluous reporters who barely are on the air," the source explained. "All will either be exited or forced to take massive pay cuts."
Zucker allegedly overpaid talent to secure their loyalty, according to Fox. As a result, CNN's top talents now earn roughly five times their worth.
Jake Tapper, who hosts The Lead with Jake Tapper, brings in an estimated $7 million per year, while CNN veteran Wolf Blitzer garners around $15 million. Chris Wallace makes approximately $8 million and Collins earns about $3 million as a primetime anchor.
Despite skepticism about the split, Warner Bros. Discovery leaders believe this division is the best move for the company. In May, CNN experienced its second-worst month in history regarding viewer numbers in the crucial 25 to 54 age demographic, significantly affecting both daytime and primetime ratings. Experts expect rating declines to worsen.
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CNN reportedly had its second-worst ratings month in May.
Kagan, a research unit of S&P Global Market Intelligence, projects CNN will suffer subscriber and revenue losses despite the strategic split, forecasting a revenue drop of $499.2 million, as reported by Variety.
The insider believes Wiedenfels could implement cost cuts of 50 to 60 percent at CNN without impacting revenue or ratings. The source suggested making "70 percent cuts to all show teams for CNN US" to align its staffing with competitors before tackling talent salaries.
"This will be most devastating for the rank and file. With no union protections, there will be massive layoffs and those remaining will be asked to do the work of their departed colleagues," the insider emphasized.
Although budget cuts and layoffs are not finalized, uncertainty hangs over CNN staff members. Byers revealed he has "received a deluge of text messages from addled employees at CNN" regarding their futures after the Warner Bros. Discovery split.
Warner Bros. Discovery execs asserted that the move to divide two companies is a strategic necessity.
Despite concerns, Warner Bros. Discovery’s executives assert that dividing into two companies is a strategic necessity. "By operating as two distinct and optimized companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today's evolving media landscape," Zaslav stated.
Wiedenfels echoed this sentiment, asserting the split will enhance the "specific financial profiles" of each company. "At Global Networks, we will focus on further identifying innovative ways to work with distribution partners to create value for both linear and streaming viewers globally while maximizing our network assets and driving free cash flow," he asserted.
