Warner Bros. Discovery Inc.’s decision to split into two independent companies is a sign of a broader “shakeout” across a media industry that has become increasingly dominated by streaming and on-demand services,

The studio and cable conglomerate that David Zaslav created couldn’t overcome outside forces and massive debt.

NEW YORK (AP) — Warner Bros. Discovery will split into two public companies by next year, calving off cable operations from its streaming service as the number of people “cutting the cord” brings with it a sustained upheaval in the entertainment industry.

Warner Bros. Discovery said it will separate its media businesses into two new companies, with cable in one and streaming and studios in the second.

Warner Bros. Discovery will split into two companies by next year, with much of its streaming and movie production moving under one company and its live sports and news to another, according to the Washington Post .

Warner Bros Discovery’s credit was slashed to junk, the latest fallout from broadcasting’s collapse. Some $34 bln in net debt makes it hard to cleave CNN from HBO while satisfying both lenders and shareholders.