FreeCast Inc’s Post

Hollywood Reporter—Brutal. Paramount is implementing another round of major company-wide layoffs on Tuesday. In a memo to staff, co-CEOs George Cheeks, Brian Robbins and Chris McCarthy said that the company will undergo “phase two” of its workforce reductions today, but that by the end of the day “90 percent of these reductions will be complete.” Last month, the executives announced a sweeping plan to cut 15 percent of the company’s U.S. workforce in pursuit of $500m in cost-savings. The first round of layoffs took place shortly after that announcement, with the co-CEOs telling staff that the cuts would happen in three phases. While it is not immediately clear where Tuesday’s cuts will hit hardest, the co-CEOs wrote that “like the entire Media industry, we are working to accelerate streaming profitability while at the same time adjusting to the evolving landscape in our traditional businesses.” CBS News is among the divisions impacted, however, with the IBEW union saying in a statement that ““IBEW members have been producing CBS broadcasts since before the invention of television, and these layoffs are a hard pill to swallow.” FreeCast: "Completely Unnecessary. Its the ego cancer at the top, not willing to merge with real aggregate Big Tech because they sense a loss of Control. The operations teams are ones who make the magic happen on screen and have for almost 100 years! iTunes nor Spotify Today had this problem with the music industry. Its a damn shame. But Consumers will be enabled very soon, just days away." #NextGenStreaming #FreeCast #NoMoreAppDiving https://lnkd.in/eifVNg-Y

Insightful article from The L.A. Times (via Christian Grece), explaining U.S. layoffs, as well as the current situation of commissioning (this year compared to recent years). If there is a silver lining, it may be that Europe with its great talent, subsidies and tax rebates might benefit, as U.S. is forced to to look into collaborating with EU players. The more financing structures a country has, the better they are off now that financing plans are being restructured and anyone able to come up with capital - be it subsidies, soft loans, private equity or tax rebates - will have the upper hand.

Part 2: 300 Paramount Layoffs. Class Action Lawsuit. Big shots can't do their jobs, so employees lose theirs? This just sucks. "On Sept. 24, Paramount started “phase two” of its reductions as part of a sweeping plan to cut 15 percent of its U.S.-based workforce in pursuit of $500 million in cost savings. At the time, co-CEOs George Cheeks, Brian Robbins and Chris McCarthy said in a memo that “like the entire Media industry, we are working to accelerate streaming profitability...." #NextGenStreaming #FreeCast #NoMoreAppDiving https://lnkd.in/erGyU2XV

This week I read an article that reflected on the layoffs that took place throughout 2024 caused by the media industry going through unprecedented events like the COVID-19 pandemic, the SAG-AFTRA strike, the WGA strike, streaming services, and the influence that artificial intelligence currently has on entertainment.  The employees at Warner Bros. Discovery have been hit the hardest with multiple rounds of layoffs following the merger of Warner Bros. and Discovery Inc. This was most effected when David Zaslav, the Warner Bros. Discovery CEO, closed Newshub in New Zealand. Newshub was a TV and streaming service and the closing of this department led to more than 300 jobs being terminated. Paramount Global also reduced its employee count by 3% this year. Later in the year, Paramount Global laid off another 15% of its entire United States employees due to the financial hardships the company faces due to the changing industry. These layoffs primarily took place within the Paramount Television Studio division. These layoffs resulted from the company attempting to cut costs and prepare for the pending Skydance Media deal to run its course. This article lists the companies that laid off a significant number of employees such as the Los Angeles Times, Time Magazine, CNN, and Sports Illustrated.  Yes, while these layoffs are tragic and unfortunate for the individuals who were affected, this is a sign of the entertainment industry going through a transition phase. Artificial Intelligence has been a driving force in these layoffs as more executives realize how much money they can save if they have AI-complete a task rather than a team of 10 employees. However, every day there seems to be a new headline in the news about regulations for AI in the entertainment industry. I think change is inevitable in every industry, and the consolidation that is taking place in the entertainment industry has a major impact. Over time, new jobs will open for the next generation of aspiring entertainment professionals and lead to a stabilization of the entertainment ecosystem. I am interested to see what type of jobs will be open in the future for recent college graduates looking to enter the business. Esquire Group Inc.

Esquire Group Inc. Happy Sunday! This week, for my ART class, I read about the recent layoffs within the media and entertainment industry. It has been a tough year, with major companies like Paramount, Disney, and Warner Bros. Discovery announcing significant layoffs. As streaming becomes the dominant force, companies are adjusting to the reality of rising costs and decreased returns. This shift is leading to tough decisions—like the 2,000 layoffs at Paramount and hundreds of job cuts at Disney—as companies focus on cutting costs to maintain profitability. The root of these layoffs lies in the industry's changing dynamics. Traditional TV and cable are seeing declining revenues, while streaming platforms are struggling to break even despite heavy investments. It is interesting to see how streaming, as well as artificial intelligence, will impact jobs within the entertainment and media industry. While some creative roles may be replaced by AI, there’s also the potential for new kinds of jobs centered around AI. How the industry navigates this balance will be crucial in determining the future of work in media and entertainment. https://lnkd.in/eHYWYTE6

Paramount to lay off 15% of workforce, hundreds to lose jobs Just pondering how much of the salaries, bonuses and potential share bonuses will co-CEOs Chris McCarthy, Brian Robbins, and George Cheeks take as a hit in sympathy with all their 100's of laid off employees? I am confident they will do so and let us all know to show their solidarity. Aren't you. Paramount Global, the media company behind Paramount Pictures, has announced plans to lay off a significant portion of its workforce in the coming weeks. The decision comes as the company looks to streamline its organization and strengthen its business in the face of industry changes. In a leaked memo signed by co-CEOs Chris McCarthy, Brian Robbins, and George Cheeks, employees were informed that the layoffs would take place in three phases, with 90% of the actions expected to be complete by the end of September. The company acknowledged the difficulty of parting ways with valued team members but expressed confidence in the direction forward. The layoffs are part of a strategic plan that includes transforming the company's direct-to-consumer streaming business and optimizing its asset mix. Paramount Global also recently agreed to a merger with Skydance as it looks to position itself for future growth. During an earnings call, the company revealed that it expects to incur a restructuring charge of $300-$400 million in connection to the job cuts, with the cash impact spread out over the next several quarters. Despite the challenges, Paramount Global remains committed to providing support to employees transitioning out of the company and to those who will need to adapt to the changes. In the second quarter, Paramount Global reported a total revenue of $6.81 billion, down 11% year over year. As Paramount Global moves forward with its restructuring efforts, employees and industry observers will be watching closely to see how the company navigates these changes and positions itself for success in the evolving media landscape.

A momentous couple of weeks for Paramount Global are underway. Its second-quarter earnings are due out today, the “go-shop” period in the $8 billion Skydance deal closes August 21, and a new round of layoffs is expected next week. Marketing and Paramount+ are two areas that are expected be hit hard. Paramount will release its earnings after the market closes, with Wall Street analysts forecasting a 5% year-to-year revenue dip due to challenges in linear TV and at the film studio. In addition to the Skydance deal, the eyes of the financial community will be focused on Paramount’s cost-cutting plans. The company’s co-CEOs, who have promised to deliver $500 million in annual cost savings, said in June that more details about the streamlining would be revealed on the Q2 earnings call. Chatter has been intensifying over the last few days that the next round of layoffs is coming next week, with hundreds of jobs expected to be eliminated. According to multiple sources, Tuesday, August 13 is the target date.

You never like to see people lose their jobs. Last week was particularly tough for the radio industry, where both iHeart and Cumulus laid off a lot of employees. It's tempting to conclude that the Radio industry has a problem. But it wasn't just the Radio industry that shed jobs last week. Paramount shuttered its TV division as well, resulting in a 15% workforce reduction. The specific circumstances of these layoffs are not identical to those happening in radio, but this is a reminder that we are witnessing a MEDIA problem, not a Radio problem. Why does this distinction matter? Because when you view it as a Radio problem, you look for Radio solutions -- like Nielsen reducing the listening requirement for AQH ratings credit from 5 to 3 minutes to artificially boost Radio ratings. Actions like these might alleviate some pain in the short term, but they will not solve the problem. The bottom line is that a Radio solution isn't big enough to solve a Media problem. At the end of the day, the real issue is that Media companies are still relying on a revenue model that assumes content is scarce when we no longer live in a world where content is scarce. When more people create more content, Tech companies make more money. When more people create more content, Media companies lose money. THAT'S why we're seeing Media layoffs, and fiddling with the Radio ratings rules isn't going to solve it. As Chief Brody said, "We're going to need a bigger boat." https://lnkd.in/gKbcDXQp

🚨 Paramount Global Announces Major Layoffs Amid Revenue Decline 🚨 Paramount Global, a leader in streaming and media production, has faced significant financial challenges in the second quarter. The company reported an 11% drop in revenue 📉, marking its largest miss against analysts' expectations since the pandemic began. Additionally, Paramount's stock has plummeted by 31% since the start of the year, driven by a sharp decline in subscriber numbers 📺. In response to these financial pressures, Paramount Global is undertaking a substantial restructuring effort aimed at cost savings. The company plans to reduce its U.S. workforce by approximately 15%, impacting around 2,000 employees across departments such as marketing, finance, legal, and technology. This headcount reduction is part of a broader strategy to save an estimated $500 million 💰, with layoffs expected to continue into early 2025. Paramount is betting on these aggressive cost-cutting measures to stabilize its financial position and offset declining revenues. #ParamountGlobal #Layoffs #MediaIndustry #Streaming #Finance #CostCutting #BusinessStrategy #RevenueDecline #MediaProduction #JobCuts #AlpineIntegrity #AIG