The CNN+ streaming service shut down after investing $300m to launch the service. Only 150,000 people signed up for it. News hosts that were to appear on the network such as Chris Wallace and Eva Longoria have been cancelled. It was reported that content produced may still appear on other areas on CNN.
Streaming services are highly competitive. The New York Times reported Licht said,: ‘While today’s decision is incredibly difficult, it is the right one for the long-term success of CNN. ‘It allows us to refocus resources on the core products that drive our singular focus: further enhancing CNN’s journalism and its reputation as a global news leader.’
CNN merged with its now parent company Warner Bros. Discovery formed in early April a merger earlier this month, has ceased external marketing spending. Discovery management wants to have CNN report less opinion programming and just report news stories and factual news.
Warner Brothers is looking to cut $3 billion in costs since chief financial officer Brad Ferrer was now no longer with the company.
CNN had a lot of controversy when eff Zucker resigned in February when he did not report a romance with a co- worker. Allison Gollust, There was an investigation of former anchor Chris Cuomo, and he was required to disclose” the relationship.
CNN+ launched its paid streaming service on March 29. It is reportedly facing teething problems as the number of viewers who sign up on a daily basis are less than 10,000, according to sources. The cable news network has not as yet released any data on the matter. It was available on Roku only on Monday and is still not streaming on Android TV.
The subscription news streaming service of CNN was launched by CEO Jason Kilar two weeks before Warner Bros. merged with Discovery. He had been upbeat about the numbers in an interview with CNBC but had not shared the numbers. He left the company, a few days ago.