Paramount expects to close down Noggin, its interactive learning subscription service for preschoolers, later this year, an individual familiar with the matter tells TheWrap.
Noggin will no longer take new subscribers and there will be a transition period for current subscribers.
The platform, which was born out of a 1999 joint venture between Nickelodeon and “Sesame Street” parent Sesame Workshop, caters to kids ages 2–7. It initially included its own TV channel, but that was replaced by Nick Jr. in 2009 after Nickelodeon bought out Sesame Workshop’s stake in 2002. In April, The Wall Street Journal reported that Paramount was looking to sell off its stake in Noggin.
Despite plans to shut down Noggin, Paramount remains committed to its kids and family programming as a key strategy to acquire and retain streaming subscribers. Nickelodeon content consistently ranks among the most watched and re-watched programming on Paramount+.
The move comes as parties including Skydance Media and RedBird Capital, Allen Media Group founder Byron Allen and Warner Bros. Discovery have all expressed an interest in acquiring or merging with Paramount in recent months.
In a memo to employees in January, CEO Bob Bakish said the company would focus on driving earnings growth in 2024 by increasing revenue through efforts like content licensing and managing costs through workforce reductions.
Earlier this week, the company laid off 800 employees and consolidated development and current operations at Paramount TV Studios. The “large majority” of the Noggin team was included in the layoffs, according to an individual with knowledge of the news.
Paramount, which has seen its stock price fall 46% in the past year, will report its next quarterly earnings on Feb. 28.
