Disney Entertainment, the new division run by Dana Walden and Alan Bergman, will oversee the company’s main streaming services including Disney+ as details of the company strategic restructuring emerge.
Additionally, the TV and film unit will now share some back-end functions with ESPN and employees from Disney Media and Entertainment Distribution (DMED), the Bob Chapek-created unit previously run by Kareem Daniel, and International Content and Operations coming under Disney Entertainment and ESPN.
Rebecca Campbell, Chairman, International Content and Operations, is the most senior executive to leave the business as part of the changes, which CEO Bob Iger said would also include around 7,000 job losses. Campbell has been with the company since 1997 and has held various roles including at the local stations group, President of Disneyland Resort and EMEA boss.
From the TV and film perspective, the biggest news coming out of the shake-up is that Walden and Bergman will oversee the company’s global streaming business and manage all content decisions for Disney+ and Disney-controlled Hulu. Streaming was previously overseen by DMED’s Daniel with Michael Paull, who was previously President, Direct to Consumer, DMED, now reporting to Walden and Bergman.
The split in the middle of steaming oversight between Bergman and Walden will also apply to marketing, with Asad Ayaz continuing to oversee marketing for Bergman’s creative groups in addition to Disney+, working closely with the Hulu marketing team, and Shannon Ryan continuing to oversee marketing for Waldena’s creative groups in addition to Hulu, working closely with the Disney+ marketing team.
In a memo to staff, Bergman, Walden and ESPN’s Jimmy Pitaro addressed the fate of staffers from the now-defunct DMED division.
“Today our colleagues from both Disney Media and Entertainment Distribution (DMED) and International Content and Operations (IC&O) will be joining Disney Entertainment and ESPN, with some becoming a part of one of the new shared functions that support both of our businesses,” they said.
One of DMED’s top executives, Debra OConnell, president of Networks for Disney Media & Entertainment Distribution, is taking on a new role, President, Networks (excluding ESPN), reporting to Walden, who is adding oversight of ABC Owned Television Stations, a division that she wasn’t previously in charge of.
According to sources, also staying at Disney is OConnell’s top lieutenant at DMED, head of business operations Chuck Saftler, whose exact position is unclear.
Walden will also oversee ABC Entertainment, ABC News, Disney Branded Television, Disney Television Studios, Freeform, FX, Hulu Originals, National Geographic Content, and Onyx Collective.
No mention of any changes with Disney’s television studio operations such as 20th Television and ABC Signature as part of the restructure.
Bergman will continue to have oversight of Disney Live Action, Walt Disney Animation Studios, Pixar Animation Studios, Marvel Studios, Lucasfilm, 20th Century Studios, and Searchlight Pictures as well as Disney Music Group and Disney Theatrical Group.
On the ESPN side, Pitaro will continue to oversee the ESPN Networks and ESPN+ as well as international sports channels.
The company said several “shared-service organizations” will be brought together across both Disney Entertainment and ESPN as the company seeks costs to cut. These include Product and Technology, led by Aaron LaBerge, Advertising Sales, led by Rita Ferro, and Platform Distribution led by Justin Connolly excluding Theatrical Distribution and Music, which will be overseen by Bergman.
Internationally, the company’s media, entertainment, and sports content and operations will continue to be managed regionally by Luke Kang, President Asia Pacific, Jan Koeppen, President EMEA, Diego Lerner, President LATA; and K Madhavan, President India. They will report to Bergman, Walden, and Pitaro.
There are still a number of personnel decisions to be made. DMED and International Content and Operations finance, communications, HR, and legal teams will report to Christine McCarthy, Kristina Schake, Paul Richardson and Horacio Gutierrez respectively as the company “finalizes operations and structures”.
In an internal note seen by Deadline, Walden, Bergman and Pitaro addressed the layoffs, which they said “will affect every segment and function across the company”.
“We are very mindful of the personal impact of these changes. More permanent decisions about individual positions and teams will be made in the coming weeks as we build out our operations in alignment with the company’s overall strategic priorities. Understandably, these changes will take a toll on colleagues who will be impacted, and we do not take that lightly. We will continue to be as transparent as possible throughout this process,” they wrote.
“For nearly 100 years, storytelling and creativity have fueled The Walt Disney Company, with virtually every interaction we have with our consumers emanating from something creative,” said The Walt Disney Company CEO Bob Iger. “I am committed to positioning this company for a new era of growth. Our strategic restructuring will return creativity to the center of the company, increase accountability, improve results, and ensure the quality of our content and experiences.”
“Every day, I am reminded of what incredible talent we have leading the many facets of this company,” he added. “Thanks to my management team and our exceptional business leaders, who have acted quickly and strategically on the important changes we are undertaking today, I am as encouraged as ever by what the future holds for The Walt Disney Company.”