Disney and Hearst Explore Sale of A+E Global Media Amid Cable TV Shifts

Disney and Hearst are exploring the sale of A+E Global Media, the company behind A&E, History, and Lifetime, as the traditional cable business continues to decline. A+E still generates meaningful cash and offers international reach, but its earnings have plunged. The potential move is part of an industry-wide reshuffling as cable TV loses viewers and advertisers to streaming. Disney plans to spin off its cable assets and Warner Bros. Discovery is splitting its cable networks from other divisions. A+E could team up with another network group or find new capital to support its FAST channels and programming.

Disney and Hearst are exploring the potential sale of A+E Global Media, the parent company of long-established cable networks A&E, History, and Lifetime, according to a report from Deadline [2]. This move comes as traditional cable television continues to face significant declines in viewership and ad spending. A+E Global Media, which is a joint venture between Disney and Hearst, has retained Wells Fargo to evaluate various strategic options, including a potential outright sale [2].

The decline in viewership and ad spending for cable networks is a trend that has been accelerating since the COVID-19 pandemic. According to Nielsen, streaming services have eclipsed traditional television in overall U.S. TV viewership, with streaming services accounting for 44.8% of all television usage in May, compared to 44.2% for cable and broadcast networks combined [1]. This shift is particularly evident in the growth of streaming platforms like YouTube, Netflix, and Disney+.

A+E Global Media, despite facing earnings challenges, continues to generate significant cash and offers international reach. The company's programming, which includes original reality and documentary series on A&E, unscripted series on History, and programming targeted to women on Lifetime, has a substantial domestic and international subscriber base. However, the company's earnings have plunged, with equity in the income of investees falling from $575 million to $207 million in the latest fiscal year [2].

The potential sale of A+E Global Media is part of a broader industry trend where traditional cable networks are being separated from their corporate parents. Comcast, for instance, is spinning out a new company called Versant, which will include NBCUniversal cable assets, while Warner Bros. Discovery is separating its cable channels from its studio and streaming portfolio [2]. This restructuring is aimed at consolidating assets and better managing the decline in traditional linear television.

A+E Global Media could potentially team up with another network group or find new capital to support its free ad-supported streaming television (FAST) channels and programming. The company has been exploring various strategic options, including a potential sale, to ensure its long-term viability in the changing media landscape.

References:
[1] https://www.aol.com/news/tv-milestone-streaming-now-bigger-120000970.html
[2] https://deadline.com/2025/07/disney-and-hearst-exploring-sale-of-ae-global-media-cable-tv-1236451721/