CNN, once a global news titan, is now bracing for a dramatic corporate split that media insiders warn will gut its workforce, slash salaries, and reduce the storied network to a shell of its former self. Warner Bros. Discovery (WBD) announced it will divide its business in two—one focused on studios and streaming, and the other on legacy cable assets, with CNN lumped into the latter.

The restructuring, set to complete by mid-2026, is being viewed as a death knell for CNN by many industry observers. Warner Bros. Discovery CFO Gunnar Wiedenfels, who has a reputation for bean counting and cost-cutting, will lead the new cable-focused group. That, according to insiders, sends an unmistakable message: CNN is about to be gutted.

“This is finally the beginning of the long-overdue correction of the Jeff Zucker-era excesses,” one insider told Fox News, citing the bloated salaries, overstaffed productions, and underperforming talent that have weighed CNN down. Zucker, who was ousted before the 2022 merger, had built a network around star anchors with hefty paychecks and heavy support staff—a model now seen as economically unsustainable.

CNN has suffered major ratings declines and is on track for its worst year ever in the key 25-54 demographic. In May, the network recorded its second-worst month in that category, even in a critical election cycle when news consumption typically spikes.

Industry insiders say Wiedenfels is expected to enact sweeping cost reductions—potentially slashing 70% of staff from CNN’s U.S.-based shows and cutting anchor pay to match current market value. “You could reduce costs at CNN 50-60% with no change to ratings or revenue,” one media executive told Fox. “Manage the decline from there.”

The restructuring signals a broader shift in WBD’s priorities. While CEO David Zaslav will retain control of the higher-growth streaming and film units, CNN is being pushed into a group widely viewed as a “sunset” operation. This means fewer resources, fewer perks, and more layoffs—especially among lower-level staffers who have no union protections.

“There’s nothing but tears on the horizon,” another former CNN employee said. “The network is losing relevance. Viewers aren’t tuning in, and the product isn’t good enough to justify a subscription model. It’s a slow death.”

Economist Michael Szanto offered a more optimistic view, suggesting that if political polarization eases and trust in media returns, CNN could stage a comeback. But even he admitted the network’s economic model is badly broken.

CNN’s digital strategy has been pushed aggressively by current CEO Mark Thompson, but its online content has struggled to attract paying customers. Its domestic programming remains overstaffed compared to rivals like MSNBC, and its cost structure is out of sync with its declining audience share.

Former CNN media reporter Dylan Byers predicted the network will undergo a painful transformation—one that could mirror the fate of HLN, CNN’s former sister network which shut down live programming in 2022. “CNN will look more and more like HLN, which is one reason HLN no longer exists,” he wrote.

Warner Bros. Discovery’s internal projections suggest CNN will lose both subscribers and ad revenue in 2025, with ad income falling below $500 million for the first time in years. Even in an election year, when networks typically see a bump, CNN’s numbers continue to decline.

CNN hasn’t publicly responded to the growing speculation, but panic is already spreading inside the building. According to Byers, staffers have bombarded reporters with questions about the future. For many, the writing is already on the wall.

What’s left now is what one insider dubbed “palliative care”—cutting costs, trimming talent, and managing the decline with dignity. Whether CNN survives this decade as anything more than a brand is an open question. But its fall from grace is no longer in doubt.