CNN, facing challenges amid the decline of the US cable broadcasting industry, announced plans to launch a new paid streaming service and to cut about 100 jobs, the company’s CEO said.
The network, once a leader in cable news, aims to launch its new $1 billion-plus subscription news product before the end of 2024, Chief Executive Mark Thompson stated in a memo to staff.
“We are creating best-in-class, subscriber-first products that provide need-to-know news, analysis, and context in compelling formats and experiences,” Thompson said. “This starts with our first subscription product launching before the end of 2024.”
CNN had previously unveiled a short-lived for-pay streaming service in 2022, but it was quickly discontinued following the merger between CNN’s parent company WarnerMedia and Discovery.
Approximately a year later, Chris Licht was replaced as CEO by Thompson, formerly of the BBC and the New York Times, after criticism regarding the network’s editorial direction.
Under the new plan, CNN aims to follow its initial “need-to-know” subscription product with “want-to-use” paid offerings focused on lifestyle journalism, Thompson explained.
CNN also plans to merge three separate newsrooms for US newsgathering, international newsgathering, and global digital news into a single organization. As a result, the company expects to eliminate about 100 jobs out of its 3,500-person global workforce, Thompson said.
Recently, CNN’s ratings in the United States have lagged behind those of rivals Fox News and MSNBC. On June 27, CNN hosted the first US presidential debate between Joe Biden and Donald Trump.
