01/28/2025 / By Ava Grace
CNN has announced that it is cutting approximately six percent of its workforce, or around 200 employees.
The layoffs, announced in an internal memo from CEO Mark Thompson, are part of a broader effort to align the network with the rapidly evolving habits of modern news consumers, who are increasingly abandoning traditional cable TV in favor of streaming services and digital platforms.
But the rise of cord-cutting – a term referring to consumers canceling their cable subscriptions in favor of streaming services like Netflix and Hulu – has dealt a devastating blow to the traditional cable model. Warner Bros. Discovery, CNN‘s parent company, is feeling the pressure.
The conglomerate is undergoing a massive restructuring, splitting its cable TV networks, including CNN, TNT and Animal Planet, into a new unit called Global Linear Networks. (Related: CNN to lay off hundreds of workers amid cost-cutting measures due to dropping ratings.)
The layoffs are not just about cost-cutting; they are part of a strategic shift to reorient CNN toward digital platforms. Thompson has made it clear that the network’s survival depends on its ability to adapt to where audiences are heading.
To that end, CNN is investing $70 million in digital ventures, including the development of a new streaming service for news programming and a lifestyle-oriented product set to launch later this year. The network is also hiring for at least 100 new digital-focused positions, signaling a clear intent to double down on its online presence.
But this transition is far from guaranteed success. CNN‘s brand, long synonymous with traditional media and global news coverage, will not have to reckon with whether it can survive in a media landscape dominated by social media, short-form video content and niche content.
Younger audiences, in particular, are turning to platforms like TikTok, Instagram Reels and YouTube for their news, often bypassing traditional outlets altogether.
CNN‘s attempt to pivot toward digital subscriptions – such as its $3.99-per-month paywall for online content – raises further questions about whether consumers will be open to paying for CNN‘s new digital offerings even when there are plenty of other free sources where they can get their news from.
The challenges are compounded by CNN‘s recent struggles. Ratings have plummeted since the election, and the network has faced internal turmoil, including the disastrous tenure of former CEO Chris Licht, whose attempts to reposition CNN as a more moderate outlet alienated both viewers and staff, leading to a ratings freefall and his eventual ouster.
Thompson, who previously led successful digital transformations at the BBC and the New York Times, now faces the daunting task of reinventing CNN for a new era.
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