HBO lost $3 billion last year
What will happen from now on?
David Zaslav , the new CEO of Warner Bros. Discovery officially stated that HBO lost $3 billion last year , failing to earn a huge amount of money spent on content. This report is brought to the attention of Deadline .
The comment comes after cost-cutting measures saw a huge amount of original content removed from HBO Max, with the biggest losses coming from the animation division.
Zaslav spoke at the RBC Media Keynote and touched on all these difficulties that arose after the creation of Warner Bros. Discovery and talked about the rethinking of the streaming model.
Right now, we can have 30 million people at Euphoria, but they’ll come for two months, watch it, and then they’ll leave. We want to motivate people to be there. There are many companies that have a business where the majority of people stay there for a year.
Regarding HBO’s financial results, the Warner CEO said he doesn’t know what’s really going on, as HBO spent 2.5 billion in 2019 on content and made a profit. However, in 2021, it spent 7 billion and then saw a loss of 3 billion dollars.
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The company says it has already started taking steps to cut costs and has removed some content from HBO Max. In fact, he left open the possibility of selling some of this content to other streaming services.
