With President Donald Trump officially back at the White House, CNN has reportedly begun a “transformation” and is planning hundreds of layoffs.
Sources at the network told CNBC that the Warner Bros. Discovery-owned company will shift focus to a digital audience and make the cuts as it restructures. The president weighed in on the report, noting that one cable network is “even worse” than CNN.
“The layoffs come as CNN is rearranging its linear TV lineup and building out digital subscription products. The cuts will help CNN lower production costs and consolidate teams, said the people, who spoke on the condition of anonymity to discuss nonpublic changes,” CNBC reported Wednesday.
“Certain shows that are produced in New York or Washington may move to Atlanta, where production can be done more cheaply, said the people,” the outlet noted, adding that CNN’s more recognizable names and anchors will likely not be affected as they are under contracts.
Trump blasted MSNBC in a Truth Social post as he reacted to news of the reported CNN layoffs.
“MSDNC is even worse than CNN. They shouldn’t even have a right to broadcast — Only in America!” he wrote.
CNN CEO Mark Thompson explained earlier this month in a town hall that “more than $70 million” was invested by Warner Bros. Discovery to help expand digital operations.
“Part of that investment will go toward hiring employees in areas where CNN sees potential growth avenues, such as data scientists and product development,” CNBC noted.
And CNN is not alone in making post-inauguration cuts as sources told the outlet that NBC News is also poised to let staff go, though that number is reportedly less than 50 people.
“I am overall very sad and deeply frustrated,” one CNN staffer told Fox News Digital. “Feelings which are pervasive throughout the organization among those who have been here a long time and feel a deep personal connection to having helped build the organization.”
“It’s a time of a complete and utter business model overhaul and chaos. Extremely difficult even under the best circumstances,” the longtime staffer added.
“I am worried because the industry is obviously in trouble… I’m sure there will be cuts,” another staffer told Fox News Digital.
Forensic economist Robert W. Johnson testified about CNN’s revenue in the defamation case against the network by a Navy veteran that resulted in a settlement last week. He showed how the media company’s revenue dropped from $2.2 billion in 2021 to $1.8 billion in 2023 and its net income went from $0.6 billion in 2021 to $0.4 billion in 2023.
“The numbers represent the Plaintiff’s interpretation of a subset of data as presented in litigation, and they do not represent financial data for the whole of CNN’s business,” a CNN spokesperson told TheWrap.
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Originally from New York, Powers graduated from New York University and eventually made her way to sunny South Florida where she has been writing for the BizPacReview team since 2015.
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