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The Walt Disney Company is planning an additional $2 billion in spending cuts in the months ahead –the latest sign of continued dark times for the once-formidable company, which is struggling with spiraling costs, an unprecedented string of box-office flops, and self-inflicted brand damage resulting from ill-advised culture wars.
CEO Bob Iger is facing a dire financial situation as Disney’ stock has been trading below $100 in the past six months. Like other legacy studios, the company must contend with the slow but certain demise of cable TV, which has long been a cash cow. But Disney and others still haven’t figured out how to make streaming entertainment profitable. Disney has lost more than $10 billion on its streaming services since 2019.
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