iWorld
CNN announces streaming service CNN+, set to launch in early 2022
New Delhi: As news media companies look for ways to survive and thrive in a fiercely aggressive digital market, the latest TV network to enter the crowded market of streaming news is AT&T’s CNN. The US-based Cable News Service (CNN) has announced its new venture CNN Plus – a streaming platform which will exist alongside its existing linear TV networks.
According to the announcement, the subscription-based streaming service will feature eight to twelve hours of live programming daily. The network has already begun developing dozens of programs and hiring the requisite employees as part of an urgent bid to keep up with changing consumer demands amid cord-cutting trends across the US.
CNN+ is the start of a new era of the company, said WarnerMedia News and Sports chairman and CNN Worldwide president, Jeff Zucker on Monday. “CNN invented cable news in 1980, defined online news in 1995 and now is taking an important step in expanding what news can be by launching a direct-to-consumer streaming subscription service in 2022,” he said in a statement.
Terming it as “the most important launch for CNN” since the launch of the network in June, 1980, chief digital officer Andrew Morse said CNN+ will be launched in the US in the first quarter of 2022 and roll out in other countries later.
Apart from at least eight hours of live programming which the company says, will be different from “what CNN produces on TV”, the new service will have original series, and interactive programming, that will allow subscribers to engage directly with talent and experts about the issues that matter most to them.
The company is yet to disclose how much it will cost consumers.
With around 4,000 employees, CNN has one of the largest news operations in the world. It is hiring about 450 people for CNN+, from producers to engineers to marketers, said Morse on Monday. “The sizable number of job openings is a reflection of CNN parent WarnerMedia’s investment in the product on the heels of the HBO Max streaming service launch in 2020,” he added.
iWorld
Bill Ackman’s Pershing Square makes $64 billion bid to acquire Universal Music Group
Ackman pitches NYSE relisting plan as UMG board weighs unsolicited offer
The hedge fund has proposed a business combination that values UMG at €30.40 per share, representing a hefty 78 per cent premium to its current trading price. The offer includes €9.4 billion in cash alongside stock in a newly formed entity, with shareholders set to receive €5.05 per share in cash and 0.77 shares in the new company for each UMG share they hold.
Under the proposal, UMG would merge with Pershing Square SPARC Holdings Ltd and re-emerge as a Nevada-based entity listed on the New York Stock Exchange. The move is designed to boost investor visibility and potentially secure inclusion in major indices such as the S&P 500.
Pershing Square Capital Management ceo Bill Ackman argued that while UMG’s operational performance remains strong, its market valuation has lagged due to external factors. “UMG’s stock price has languished due to a combination of issues that are unrelated to the performance of its music business,” Ackman said, pointing to concerns ranging from shareholder overhang to delayed US listing plans.
Ackman also flagged what he sees as untapped potential in UMG’s balance sheet and a lack of clear capital allocation strategy. He added that the market has not fully recognised the value of UMG’s €2.7 billion stake in Spotify, alongside gaps in investor communication.
The proposed transaction would also result in the cancellation of around 17 per cent of UMG’s outstanding shares, while maintaining its investment-grade balance sheet. Pershing Square has said it will fully backstop the equity financing, with debt commitments secured at signing. The deal is targeted for completion by the end of the year.
UMG, however, has struck a measured tone. The company confirmed that its board has received the non-binding proposal and will review it with advisers. It reiterated confidence in its current strategy and leadership under Lucian Grainge, signalling no immediate shift in stance.
The proposal comes at a time when global music companies are navigating evolving investor expectations, streaming economics and capital allocation pressures. For Pershing Square, the bet is clear: sharpen the financial story, relist in the US, and let the music play louder in the markets.
Whether UMG’s board is ready to change the tune remains to be seen, but the spotlight on its valuation just got a lot brighter.
