Disney Reorganizes, Focuses on Streaming

Disney has announced a reorganization and a new emphasis on streaming.
License Global

October 14, 2020

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Disney has announced a structural reorganization for its entertainment and media businesses to ramp up its direct-to-consumer strategy.

Under the new structure, Disney’s creative engines will focus on developing and producing original content for the company’s streaming services, as well as for legacy platforms, while distribution and commercialization activities will be centralized into a single, global Media and Entertainment Distribution organization. The new Media and Entertainment Distribution group will be responsible for all monetization of content – both distribution and ad sales – and will oversee operations of the company’s streaming services. It will also have sole P&L accountability for Disney’s media and entertainment businesses.

“Given the incredible success of Disney+ and our plans to accelerate our direct-to-consumer business, we are strategically positioning our company to more effectively support our growth strategy and increase shareholder value,” says Bob Chapek, chief

executive officer, Disney. “Managing content creation distinct from distribution will allow us to be more effective and nimble in making the content consumers want most, delivered in the way they prefer to consume it. Our creative teams will concentrate on what they do best—making world-class, franchise-based content—while our newly centralized global distribution team will focus on delivering and monetizing that content in the most optimal way across all platforms, including Disney+, Hulu, ESPN+ and the coming Star international streaming service.”

The creation of content will be managed in three distinct groups – Studios, General Entertainment, and Sports – headed by current leaders Alan F. Horn and Alan Bergman, Peter Rice and James Pitaro. The media and entertainment distribution group will be headed by Kareem Daniel, formerly president, consumer products, games and publishing. All five leaders will report directly to Chapek. Disney Parks, Experiences and Products will continue to operate under its existing structure, led by Josh D’Amaro, chairman, Disney Parks, Experiences and Products, who continues to report to Chapek. Rebecca Campbell will serve as chairman, international operations and direct-to-consumer. Bob Iger, in his role as executive chairman, will continue to direct the company’s creative endeavors.

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