The truth behind the MTV rumors — as corporate – Business News
MTV’s four-decade run on cable TV in the US received’t finish anytime quickly – but it surely’s at risk of changing into an eventual casualty as the iconic community’s corporate house owners seek for methods to slash prices, On The Money has discovered.
The music video channel that launched in 1981 and morphed into a reality-TV vacation spot is – like its sister networks Comedy Central and Nickelodeon below media giant Paramount Skydance – getting slammed by wire chopping.
For now, CEO David Ellison and his No. 2, Jeff Shell have no plans to shutter MTV’s US operations largely as a result of it’s an iconic model with enough viewership to keep it working, sources inform On The Money.
One future chance for MTV: Scrapping its US cable channels and turning the franchise into a pure-play streaming property. Donald Pearsall/NY Post Design
But the higher-ups at Paramount Skydance are weighing their choices for MTV, insiders mentioned. One future chance: Turning what stays of the franchise into a pure-play streaming property, in keeping with sources briefed on the discussions.
These people say every part is on the desk, together with a potential drastic downsizing that fully scraps the US cable channel in response to wire chopping and to help finance future enlargement plans together with Ellison’s deliberate bid for Warner Bros. Discovery.
More From Charles Gasparino
“For now the thought of them killing the US channel is just noise,’ said one person close to the matter. “But you never know what could happen in the future given the business environment.”
As the Post’s Taylor Herzlich reported this week, MTV “is closing five stations in the UK, including MTV Music, MTV 80s, MTV 90s, Club MTV and MTV Live,” with all 5 channels slated to go darkish after Dec. 31.
Michael Jackson and Slash carry out on MTV circa 1995. Lester Cohen
The Eurythmics in 1983. Getty Images
Paramount Skydance can also be anticipated to close MTV music channels in Australia, Poland, France and Brazil, Herlich reported.
A spokeswoman for Paramount Skydance had no remark.
Charlie Gasparino has his finger on the pulse of the place business, politics and finance meet
Sign up to obtain On The Money by Charlie Gasparino in your inbox each Thursday.
Thanks for signing up!
Paramount Skydance’s management headed by Ellison and Shell, the former head of NBCU, are looking for as a lot as $500 million in cuts – and MTV received’t be alone. Other properties going through streamlining embrace CBS’s information and sports activities networks.
Layoffs are also in the playing cards as Ellison and Shell digest not solely their $8 billion Paramount acquisition but in addition a potential WBD takeover which may value as a lot as $60 billion.
