MTV News is no more.
The news outlet, established 36 years ago with a single show that eventually blossomed into an edgier CNN, with shows on the network and a strong presence online, has been shuttered as part of a major Paramount Global restructuring that sees 25% of Showtime/MTV Entertainment Studios/Paramount Media laid off.
In a letter sent to staff by Chris McCarthy, Paramount Media Networks’ President, he outlined the restructuring – Showtime and MTV Studios will be combined “into one powerful studio team” with nine separate teams on the network side of things combined into “one portfolio group.” He also touted the success of Paramount+’s streaming slate, including the suite of Taylor Sheridan projects, but that “despite this success in streaming, we continue to feel pressure from broader economic headwinds like many of our peers.”
The response? To “reduce our domestic team by approximately 25%.” “This is a tough yet important strategic realignment of our group. Through the elimination of some units and by streamlining others, we will be able to reduce costs and create a more effective approach to our business as we move forward,” McCarthy wrote.
This comes after disappointing earnings, followed by a 28% stock plunge. It’s unclear how the news will impact the Sheridan shows – including the flagship series “Yellowstone,” which will soon end to make way for a sequel series, and spin-offs like “1923” and additional Sheridan projects like “Tulsa King,” “Mayor of Kingstown” and several upcoming projects (including more “Yellowstone” spin-offs).
Read McCarthy’s letter below:
As we finalize the integration of SHOWTIME and continue to transform our business for the future, we have set a great foundation for continued success by consolidating our group into two functions:
- Studios – integrating SHOWTIME and MTV Entertainment Studios into one powerful studio team
- Networks – combining nine separate teams into one portfolio group
This combination has resulted in an incredible track record of hits including “Yellowstone,” “1883,” “Tulsa King,” “South Park,” “The Challenge,” “Teen Wolf,” “1923,” “Drag Race,” “Mayor of Kingstown,” “Your Honor,” “George & Tammy” and “Yellowjackets” – which, taken together, drove record subscribers across Paramount+ and Showtime and helped Paramount+ lead the industry in new subscriber growth.
However, despite this success in streaming, we continue to feel pressure from broader economic headwinds like many of our peers. To address this, our senior leaders in coordination with HR have been working together over the past few months to determine the optimal organization for the current and future needs of our business.
As a result, we have made the very hard but necessary decision to reduce our domestic team by approximately 25%. This is a tough yet important strategic realignment of our group. Through the elimination of some units and by streamlining others, we will be able to reduce costs and create a more effective approach to our business as we move forward. Today we will notify employees whose positions are being impacted with leaders communicating the news directly to those teams/or individuals. These meetings will be followed by individual 1:1s with our HR partners.
I realize these decisions will be very hard for everyone, most of all, those who will be leaving. It’s not something we take lightly. We have some of the most passionate and dedicated team members, who bring their full selves to drive our brands and business forward. This is why it’s so difficult to say goodbye to our friends and colleagues. To those impacted, we deeply appreciate the passion and creativity you have brought every day. I want to thank you for your many contributions.
Our leadership team and HR partners are committed to ensuring this process is done with empathy and respect.