The Hollywood Reporter (Weekly)
CNN+ UNVEILED: IS IT A SUPERFAN SERVICE OR MAIN NEWS DESTINATION?
Better late than never. On July 19, the Jeff Zuckerled CNN revealed plans to launch its entrant in the streaming news wars, CNN+, in early 2022 with a bet that global reach, an iconic brand and interactive features will help differentiate it in a crowded marketplace. The service likely will arrive in time for the expected merger of CNN parent company WarnerMedia and Discovery Inc., a deal that is predicated on bringing together content from the combined entities to give it the scale it needs to compete with Netflix and Disney. But its 2022 launch raises serious questions about its long-term future and strategy. While Discovery CEO David Zaslav says they haven’t decided how they will handle the different streaming services they will operate after the merger (HBO Max, Discovery+, CNN+), there is a strong likelihood that they’ll consolidate them in some form, either by merging them into one service or by creating a bundle of services a la the “Disney Bundle,” which packages ESPN+, Hulu and Disney+ at a starting price of $14 a month. “What Disney has done with ESPN+ (another strong cable brand) as both a stand-alone and as a bundle with Disney+ and Hulu could be a model to copy,” says media consultant Brad Adgate. Until then, however, AT&T and WarnerMedia are keeping on their own strategic path, with regulatory review preempting much strategy talk. A CNN source tells THR that AT&T leadership has been heavily involved in prepping CNN+. CNN+ is ultimately what evolved out of NewsCo, a news and information platform the company announced in April 2020, at the height of the pandemic. CNN also acquired Canopy, a “personalization architecture company,” with its team developing the tech that will be incorporated into CNN+. The network will hire about 400 to 450 people dedicated to CNN+, with about half working on business and product and the other half working on content, a source familiar with the plans says. But CNN+ also will be entering a marketplace with a plethora of free and paid news options. On the free side, CBSN has grown over the past six-plus years to have a full schedule of live programming. ABC News Live is building out its live programming lineup, and NBC News has several free streaming options available, including NBC News Now, while Fox News is planning to launch a free Fox Weather streaming service later this year. On the paid side, NBC News and MSNBC have additional exclusive programming as part of Peacock, while Fox News’ paid options include Fox Nation, which boasts original lifestyle and documentary fare. One CNN source says they think the “interactive” fare and access to talent will be a differentiator when people compare to other news streaming services. When CNN acquired Canopy, the company said its new platform would connect “users to trusted sources, storytellers and creators across a wide range of topics,” using tech to help it do so. CNN+ will test the market for such an offering, betting that users may pay extra to get a more personal experience with hosts like Anderson Cooper and experts like physician Sanjay Gupta.