One of the most prominent news networks in the world has been struggling in recent years. And it goes well beyond the Trump vs. CNN showdowns that began around 2016.
Amid ongoing accusations that the network is far too left-leaning, ratings have suffered badly. In comparison, Fox News programs often have three to four times the number of viewers.
And now, all of this is translating into a $3 billion “gut punch.”
CNN has been moving a lot of pieces around the board in an effort to save money, and this includes shifting primetime hosts to other time slots. But this hasn’t yielded immediate results.
That’s why a big round of layoffs are coming, and it will include several high-profile correspondents.
This comes not long after Warner Bros. Discovery CEO David Zaslav told investors that he intends to eliminate $3B in costs. Typically, such a large number involves a significant number of pink slips.
From Washington Examiner:
Correspondents and production staff were among those let go Thursday in CNN’s latest string of cuts.
Chris Cillizza, Alison Kosik, Martin Savidge, Alex Field, and Mary Ann Fox were cut, according to Variety.
The network also gutted its sister network HLN, eliminating the live programming of what was once known as CNN’s Headline News.
New CNN CEO Chris Licht took over in May and promised to slash costs and revive the network’s terrible ratings.
This included erasing both primetime shows for Don Lemon and Jake tapper, as well as canceling the “Brian Stelter Reliable Sources” show. But obviously, more big changes are needed.
Licht had warned the staff of a coming “gut punch” in a memo, which quickly made the rounds on Twitter:
CNN boss Chris Licht informs employees in an all-staff note that layoffs are underway.
Licht says those being notified today are largely paid contributors and then tomorrow CNN "will notify impacted employees."
Licht will then provide an update to staff afterward. pic.twitter.com/nD0pt9Ruwj
— Oliver Darcy (@oliverdarcy) November 30, 2022
CNN was also forced to end its streaming service – CNN+ – only one month after launching, due to very low interest.
Some will claim that CNN’s troubles are simply because of the serious leftist bent, so they’re really only catering to a certain portion of the population. Others say it’s just because the network’s quality has plummeted.
Either way, it looks like CNN will need a complete overhaul to be competitive again in the news market.
For the time being, the network continues to get trounced in the ratings field, which isn’t good news for investors. And unless Licht can turn things around, there could be even rougher time ahead.
Key Takeaways:
- CNN has laid off hundreds in an effort to cut $3B in costs.
- Network CEO Chris Licht called it a “gut punch,” and it included gutting sister network HLN and firing several correspondents.
- CNN’s ratings have struggled mightily in 2022, and investors have demanded changes.
Source: Washington Examiner
