USA: The Walt Disney Company Announces Strategic Reorganization

Yesterday, The Walt Disney Company officially announced the restructuring of its related business units into four newly-created segments: (1) “Direct-to-Consumer & International”, (2) “Parks, Experiences and Consumer Products”, (3) “Media Networks” and (4) “Studio Entertainment”, effective immediately.

The “Direct-to-Consumer & International” segment will serve as a global multiplatform media, technology and distribution organization for content created by Disney’s Studio Entertainment and Media Networks groups. This includes the upcoming Disney-branded direct-to-consumer streaming services. Kevin Mayer, who has served as Disney’s Chief Strategy Officer since 2015, has been named Chairman of the new direct-to-consumer and international business segment.

Especially for Disney’s IP characters and stories, parks and franchises, the Disney group has created the “Parks, Experiences and Consumer Products” business unit, merging the former consumer products business with Walt Disney Parks and Resorts under Bob Chapek.

The “Disney Media Networks” segment, which is co-chaired by Ben Sherwood (President of Disney|ABC Television Group) and James Pitaro (President of ESPN), will virtually remain the same what also applies for the “Studio Entertainment” unit, in which the Walt Disney Animation Studios, Disney Live Action, Pixar Animation Studios and Marvel Studios (amongst others) are organized. Alan F. Horn has been named Chairman of “Studio Entertainment”.

“We are strategically positioning our businesses for the future, creating a more effective, global framework to serve consumers worldwide, increase growth and maximize shareholder value […],” said Robert A. Iger, Chairman and CEO of The Walt Disney Company. (eap)