Comcast to Spin Off NBCUniversal Cable Networks, Including USA, CNBC, and MSNBC, Into Separate Public Company

Comcast has unveiled plans for a major restructuring, announcing the spin-off of several NBCUniversal cable television networks—USA Network, CNBC, and MSNBC—into an independent public company. This move underscores the ongoing shift away from traditional cable toward the dominance of streaming services.

Mark Lazarus to Lead New Entity

Mark Lazarus, chairman of NBCUniversal Media Group, will head the new company as its CEO. Lazarus expressed optimism about the spin-off, stating, “As a standalone company with these outstanding assets, we will be better positioned to serve our audiences and drive shareholder returns in this incredibly dynamic media environment across news, sports, and entertainment.”

Strategic Focus on Non-Cable Revenue Streams

This decision aligns with Comcast’s efforts to reduce dependence on cable revenue. Over the past few years, the company has redirected its focus toward other revenue streams, including streaming services, its movie studio, theme parks, and home wireless and internet services.

Peacock’s Strong Growth

Peacock, Comcast’s streaming platform, has become a bright spot for the company. In the most recent quarter, paid subscribers rose by 3 million to reach 36 million, a 29% increase. Peacock’s revenue surged 82%, reaching $1.5 billion during the quarter, showcasing the platform’s growing influence.

Launched in 2020, Peacock initially faced challenges but has since gained significant traction, particularly following its comprehensive coverage of the 2024 Paris Olympic Games. The platform streamed all 329 medal events and over 5,000 hours of content, with viewers logging over 23 billion minutes—a 40% increase compared to previous Olympics combined.

Peacock to Remain With Comcast

While the cable networks will be spun off, Peacock will remain entirely under Comcast’s control, continuing to serve as a central piece of its streaming strategy.

Spin-Off Timeline and Impact

Comcast expects to complete the spin-off within a year, subject to board approval, financing, and regulatory clearances. While the move positions Comcast to capitalize on the shifting media landscape, it may also have financial implications, potentially impacting revenue and profitability in the short term.

This development reflects a transformative moment for Comcast as it seeks to innovate and adapt to a rapidly evolving industry.