Fiction
Disney formally closes deal with Fox, massive layoffs expected
MUMBAI: Walt Disney Co (Disney) has finally closed the deal with on its $71 billion acquisition of 21st Century Fox (Fox). In recent months, the acquisition received final approval from antitrust regulators across the globe. This merger will lead to thousands being fired, industry experts as well as several media reports speculate.
With the deal, Disney is taking over majority of Fox’s assets including 20th Century Fox studio, the FX and National Geographic cable networks, and an additional 30 percent of Hulu. The giant media conglomerate thinks the deal will help it increase its international footprint along with expanding its direct-to-consumer offerings.
“This is an extraordinary and historic moment for us — one that will create significant long-term value for our company and our shareholders,” Disney CEO Bob Iger said in a press release. “Combining Disney’s and 21st Century Fox’s wealth of creative content and proven talent creates the preeminent global entertainment company, well positioned to lead in an incredibly dynamic and transformative era,” he added.
Bob Iger promised $2 billion in cost savings which clearly indicates to epic job cuts. While Disney is taking on 15,400 Fox employees, the smaller new Fox Corp will keep about 7,000. The layoffs are expected to come down heavily on domestic market first. “You can anticipate more domestic at the front end, just because of regulatory issues outside of the US,” Disney chief financial officer Christine McCarthy said earlier as quoted by Bloomberg. The number of cuts could reach up to 4000, maybe even higher than that. Most of the jobs that are expected to be hit by the acquisition are duplicate ones.
To take on this bet, Disney has to sell 22 regional sports networks in the US and its sports networks in Brazil and Mexico as part of regulatory approvals. The company also agreed to sell its stakes in such networks as Lifetime and History in Europe.
Although the Fox deal will help Disney in its direct to consumer business, the cost of launching Disney+ is expected to impact the company’s financials next year. A study from the research firm Ampere Analysis suggested that Comcast, after the acquisition of European pay TV giant Sky, and Walt Disney, after its Fox deal, will dominate global content spending.
Fiction
Banijay merges with All3Media in $6.65 billion deal
Marco Bassetti will lead the combined company as CEO
PARIS: Six years after acquiring Endemol Shine at the height of the pandemic, Banijay has struck again. The European production heavyweight is merging with All3Media in a deal that will create a television titan with $6.65 billion in revenue and redraw the contours of a fast-consolidating market.
The combined company will trade under the Banijay name and be owned 50 per cent each by Banijay Group and RedBird IMI, which acquired All3Media in 2024. The transaction is expected to close by autumn, subject to regulatory approvals.
Banijay Entertainment CEO Marco Bassetti, will take the top job at the enlarged group. All3Media CEO Jane Turton becomes deputy CEO. RedBird IMI CEO Jeff Zucker will serve as chairman.
The logic is scale. Broadcasters are commissioning less, streamers are tightening budgets and global buyers are fewer but bigger. Against that backdrop, heft matters. The merged entity will generate roughly $6.65 billion in revenues based on 2024 figures, giving it sharper elbows in rights negotiations and deeper pockets for franchise-building.
“Entrepreneurialism, ambition and creativity” remain core to Banijay’s DNA, Bassetti said, flagging plans to invest more heavily in new intellectual property, live events and emerging platforms. Turton struck a similarly bullish note, pointing to All3Media’s journey from a 2003 start-up to a global supplier of hit formats and high-end drama.
Between them, the two groups control a formidable slate. Banijay’s catalogue spans MasterChef, Big Brother, Survivor, Black Mirror, Peaky Blinders and Deal or No Deal. All3Media’s labels include Studio Lambert, producer of The Traitors and Squid Game: The Challenge; Two Brothers, behind The Tourist; and Neal Street, currently producing the forthcoming Beatles biopics directed by Sam Mendes for Sony.
The back catalogue is equally muscular. Banijay Rights holds some 220,000 hours, while All3Media International adds around 35,000 hours, forming one of the industry’s largest libraries.
Banijay, controlled by French entrepreneur Stéphane Courbit and listed in Amsterdam, counts more than 130 production companies across 25 territories. All3Media operates over 40 labels, with strong positions in the UK, US and Germany. The enlarged group will also lean into live entertainment, building on Banijay’s Balich Wonder Studio, which produced the opening ceremony of the Milan-Cortina Winter Olympics, and the Independents.
The deal marks a shift in tone. As recently as October, Bassetti suggested that mergers and acquisitions were not a priority. But the drumbeat of consolidation has grown louder. Mediawan has moved for Peter Chernin’s North Road. David Ellison’s Paramount has agreed to a $110 billion takeover of Warner Bros, with plans to combine HBO Max and Paramount plus. ITV has explored selling its media and entertainment arm to Comcast-owned Sky, though talks have reportedly slowed.
