Warnermedia now controls Cartoon Network and Adult Swim

Warnermedia has announced a reorganization that could have a significant impact on the future activities of the various units in the animation association. Warnermedia is AT&T’s new name for United Warner Bros., Turner and HBO.

As part of the company's new approach, Kevin Tsujihara, the chairman and CEO of Warner Bros., was tasked to combine Warnermedia's efforts in the category “for family, children, and animation” as part of Global Kids & Young Adults.

This means that in addition to the content produced by the Warner Animation Group and Warner Bros. Animation, Tsujihara now controls the Cartoon Network, Adult Swim and Boomerang, and also Otter Media (a combination of Ellation Studios, Crunchyroll, Rooster Teeth and VRV), as well as all activities around consumer products licensed by Warnermedia. Prior to this, Cartoon Network and Adult Swim worked with relative autonomy from their Atlanta headquarters.

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What impact this will have on the work of these units in the near future is not yet known. There are already some signs that Warner Bros. does not want to do a complete rebranding of Turner projects. For example, Variety reported that Christina Miller, president of Cartoon Network, Adult Swim and Boomerang, is being considered for a more significant position in the Kids and Family division of Warner Bros.

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In addition, it opens up new opportunities for closer integration of Warnermedia brands. Tsujihara said that the new animated series and digital projects could be coordinated with the release of Warner Animation Group's features, and he believes that there is a chance to integrate Otter Media projects to support both the WB video game division and the DC Universe’s content.

The bottom line is that Warnermedia believes that the integration of these studios will lead to greater profits, especially in terms of consumer products. “When it’s part of the same company, it’s different,” Tsujihara said. “The lion’s share of their profitability comes from affiliate sales and advertising. So a vertically integrated entity would say, ‘How can we drive more consumer products revenue from these properties?'”

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