CNN has warned that it will cut 6% of its workforce as part of plan to re-shape its business to be more “digitally focused”.
👉 Background: CNN, short for Cable News Network, is the multinational news outlet founded back in 1980. It revolutionised the industry after it was the first TV channel to provide 24 hour news coverage. But, as cable or pay-TV has declined globally, so too has CNN’s viewership which was down nearly 14% from just 2 years ago.
👉 What happened: Now, CNN has warned that it will cut 6% of its workforce as part of plan to re-shape its business to be more “digitally focused”. As part of this, it is planning on creating a digital product that will allow customers to stream the channel through multiple online platforms.
👉 What else: CNN has finally realised that it needs to shift its focus towards the platforms and products where audiences are moving to…or risk falling even further behind.
What's the key learning?
💡Digital transformation is essential for legacy media to stay relevant. A decade ago, consumption of news was typically from a newspaper or linear TV. But now, news is consumed on-demand, on mobile, and even through social media platforms:
💡The stats don't lie:
💡For CNN, this means leaning in to a brand new focus: cutting costs in traditional areas while heavily investing in digital growth.
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