News Bob Iger outlines the need to transform the Walt Disney Company resulting in 7000 job losses and $5.5 billion in cost savings

[James Alucobond]

Wow , wonder if the severance package includes a return plane ticket back to the USA for those that need to get back home after getting laid off.

It’s okay. Iger and Xi are buds.

 

[CaptainMickey]

Like other American-based media companies, Disney has had no luck getting its streaming service into China. Disney+ isn’t available in mainland China, part of a broader effort by Beijing to preserve the market for its homegrown streaming services. Disney+ rivals such as Netflix Inc. have also been denied access to Chinese consumers."

It does seem a little unnecessary to have a company streaming office in a country that won't let you operate. And is also know as the world leader in intellectual property theft.

 

[Lilofan]

It does seem a little unnecessary to have a company streaming office in a country that won't let you operate. And is also know as the world leader in intellectual property theft.

Walt quote - " It's kind of fun to do the impossible ".

 

[Willmark]

I actually don’t give either Covid nor streaming that much consideration at all.

I think is the vast, nearly unlimited amounts of diversions/entertainment every second of everyday…
…and technology that reduces the “spectacle” of movies.

I can live in a combat zone in an oculus. Makes little mermaid less impressive on some levels

Building off your thoughts here:

My kids are mid Gen Z in terms of the demographic cohort and movies are the last thing on their minds. Reason? Why watch a movie when they can be in their own adventure: video games like Red Dead Redemption are a perfect example? Go to the movies? Why do that? They can link up to all their buddies on their iPhones and PS5s and blast away together: active involvement vs. passive entertainment, which one wins?

TV? Nothing unless it’s live sports.

A couple I know? Their kid can’t be pried away from his Oculus. Literally has zero interest in movies.

The point here is: is this every kid? Who knows? But I like my chances that it’s not just mine. Also, fully aware that the point is just antecdotal.

How does this relate to the topic at hand? Movies will likely last for quite a bit (maybe?) but once VR gets immersive enough to reach everyone and the technology makes some leaps? Anyone’s guess at that point.

Americans have the attention span of a gnat as is, kids even less so.

So which wins out ultimately? Anyone want to bet the house it will be movies? The only real question is the timeline. Is in close or far away? I have no idea just yet.

And last part? One word: Kodak. They famously said (paraphrasing) around 1995 or so: “we have 50 years of film (paper).” In reality they barely had 10. This was in reference to the emergence of digital photography. And what did they do? Ran ad campaigns to convince people to continue to print photographs. We all know how that turned out.

 

[Sirwalterraleigh]

Building off your thoughts here:

My kids are mid Gen Z in terms of the demographic cohort and movies are the last thing on their minds. Reason? Why watch a movie when they can be in their own adventure: video games like Red Dead Redemption are a perfect example? Go to the movies? Why do that? They can link up to all their buddies on their iPhones and PS5s and blast away together: active involvement vs. passive entertainment, which one wins?

TV? Nothing unless it’s live sports.

A couple I know? Their kid can’t be pried away from his Oculu. Literally has zero interest in movies.

The point here is: is this every kid? Who knows? But I like my chances that it’s not just mine. Also fully aware that point is just antecdotal.

How does this relate to the topic at hand? Movies will likely last for quite a bit (maybe?) but once VR gets immersive enough to reach everyone and the technology makes some leaps? Anyone’s guess at that point.

Americans have the attention span of a gnat as is, kids even less so.

So so which wins out ultimately? Anyone want to bet the house it will be movies? The only real question is the timeline. Is in close or far away? I have no idea just yet.

And last part? One word: Kodak. The famously said (paraphrasing) around 1995 or so: “we have 50 years of film (paper).” In reality they barely had 10. This was in reference to the emergence of digital photography. And what did they do? Ran ad campaigns to convince people to continue to print photographs. We all know how that turned out.

You automatically win with the Kodak example

 

[Casper Gutman]

Actual box office data and over a century of historical evidence? Nah, let’s go with vague anecdotes about VR (which has failed to achieve any real momentum for two decades or so). Its not as though every entertainment conglomerate is stumbling and flailing because they JUST made the exact same flawed assumption.

Now excuse me, I have to go use my new Google Glasses, which will certainly kill cinemas.

A LOT of posters on here would have followed Eisner in panicking about the totally unprecedented “XTreme” cultural trends of the 90s and killing classic EPCOT.

 

[Willmark]

Actual box office data and over a century of historical evidence? Nah, let’s go with vague anecdotes about VR (which has failed to achieve any real momentum for two decades or so). Its not as though every entertainment conglomerate is stumbling and flailing because they JUST made the exact same flawed assumption.

Now excuse me, I have to go use my new Google Glasses, which will certainly kill cinemas.

A LOT of posters on here would have followed Eisner in panicking about the totally unprecedented “XTreme” cultural trends of the 90s and killing classic EPCOT.

I don’t see anyone “panicking”. I see people pointing out possibilities.

 

[flynnibus]

So. Anyways. Anyone smarter than me (so many), 'splain to me how we go from reducing headcount to "transforming" the company? There has to be a direct link, right? Otherwise why take the layoff action?

Why is this a suprise? Iger said from the get-go they were looking at their structure and organization. Including rolling out massive re-alignments almost right away. Now you have more of those reorgs forming up and they are also looking to reduce duplication and dead weight. So you see them not just doing some 'trim 10%' kind of layoff, but strategically axing entire units and everything in them.

This is the culling that always follows massive reorgs and companies trying to show the market they are able to adapt to changing market conditions.

 

[Elijah Abrams]

especially since they'll be on the hook to buy out Hulu next year.

I thought Iger was starting to have second thoughts on keeping Hulu and taking the rest of Comcast’s stake?

 

[Sirwalterraleigh]

So. Anyways. Anyone smarter than me (so many), 'splain to me how we go from reducing headcount to "transforming" the company? There has to be a direct link, right? Otherwise why take the layoff action?

A guess?

Iger was told by the money people - including the hoax pricy fight - to “give us our dividend abs money or you’re done…”

…and he complied and is on a scorched policy.
Massive cuts and layoffs…higher prices…less spending

Watch it play. I booked a trip to universal yesterday…just saying

 

[Sirwalterraleigh]

Why is this a suprise? Iger said from the get-go they were looking at their structure and organization. Including rolling out massive re-alignments almost right away. Now you have more of those reorgs forming up and they are also looking to reduce duplication and dead weight. So you see them not just doing some 'trim 10%' kind of layoff, but strategically axing entire units and everything in them.

This is the culling that always follows massive reorgs and companies trying to show the market they are able to adapt to changing market conditions.

…yeah…he is being held at gunpoint for a dividend…it’s not good for Orlando…

…but have fun with all that long-winded splaining you did

 

[Sirwalterraleigh]

Actual box office data and over a century of historical evidence? Nah, let’s go with vague anecdotes about VR (which has failed to achieve any real momentum for two decades or so). Its not as though every entertainment conglomerate is stumbling and flailing because they JUST made the exact same flawed assumption.

Now excuse me, I have to go use my new Google Glasses, which will certainly kill cinemas.

A LOT of posters on here would have followed Eisner in panicking about the totally unprecedented “XTreme” cultural trends of the 90s and killing classic EPCOT.

…you’re on a roll…
Managed to gtg an Eisner dig in

 

[Sirwalterraleigh]

I think Disney should just focus on making good content without agendas. Just watched the "Walts Disenchanted Kingdom" documentary on Amazon Prime and I couldn't agree with it more.

I don’t Know if it’s “agenda”…I think it’s more frankly stupid decisions

The screenwriter of the most anticipated sequel IN HISTORY was told not to use the iconic, backbone character in it because he’d “steal the show”…by Disney

That was the biggest case of “imagination malfeasance” in history

They just need to stop being stupid…frankly

It’s not this hard

 

[MisterPenguin]

I thought Iger was starting to have second thoughts on keeping Hulu and taking the rest of Comcast’s stake?

I doubt he was sincere. He was just verbally jousting with Roberts who was insincerely saying they may buy Hulu.

Roberts is trying to talk up the price and Iger is trying to talk down the price.

In the end, Comcast can force Disney to buy it according to their contract.

 

[BaconPancakes]

I think Disney should just focus on making good content without agendas. Just watched the "Walts Disenchanted Kingdom" documentary on Amazon Prime and I couldn't agree with it more.

What "agendas"?

 

[MagicHappens1971]

I don’t Know if it’s “agenda”…I think it’s more frankly stupid decisions

The screenwriter of the most anticipated sequel IN HISTORY was told not to use the iconic, backbone character in it because he’d “steal the show”…by Disney

That was the biggest case of “imagination malfeasance” in history

They just need to stop being stupid…frankly

It’s not this hard

I may be naive or have missed it, but what are we talking about here?

 

[asianway]

I may be naive or have missed it, but what are we talking about here?

Could be Indy 5, could be SWIX

 

[Sirwalterraleigh]

I may be naive or have missed it, but what are we talking about here?

Total non-sequitor on my part.

I use a 2015 pet peeve to illustrate how Iger, Inc. has lost the ability to relate to its audience. That kinda slow bleed builds on itself longterm…and now they’re flopping Pixar and marvel movies

 

[Parker in NYC]

The only thing that will save the parks is a dissolution and sale. The ideal outcome would be for this to happen with OLC being the buyer since they actually care about how the parks are run, care about show, and consistently invest in new capex. I know this was discussed in the past - I would love for it to actually happen.

I only hope that if it does, it’ll be available for purchase at Lakeland. Mr. Morrow is on the case.

 

[DopeyRunner]

The only thing that will save the parks is a dissolution and sale. The ideal outcome would be for this to happen with OLC being the buyer since they actually care about how the parks are run, care about show, and consistently invest in new capex. I know this was discussed in the past - I would love for it to actually happen.

The questions are:

Who would be willing to step up and take ownership of the parks?

Assuming permanent IP use permissions, who would be the creative drivers be? Would you expect the new owner to effectively build their own imagineering team?

I don’t disagree that parks/cruises could be a very successful independent business, but the IP issue alone would make this a nightmare.