The Evolution of Money and the Demise of CNN+ — with Eswar Prasad

CNN+ Closure

The abrupt shutdown of CNN+ has sparked discussions about strategic missteps and industry reactions. Scott Galloway criticizes the decision, highlighting the irrationality and ego-driven nature of the move. He notes, "This makes Discovery, CNN, CNN plus, much less the talent, including yours truly. We look stupid. We didn't see this coming" 1. The decision to launch CNN+ against Discovery's wishes is seen as a significant error, leading to its swift demise. Galloway reflects on the impact of this decision on media professionals, expressing disappointment in the lack of communication and respect from Discovery 2.

   

Streaming Economics

The financial miscalculations within the streaming industry are evident in CNN+'s failure. Scott Galloway points out the unsustainable spending on content, with streamers investing billions without a clear return. He states, "CNN plus was a squirt gun that showed up at a howitzer fight. It never had a chance" 3. The overinvestment in streaming content, coupled with unrealistic expectations, has led to significant losses across the industry. Galloway emphasizes the need for a more sustainable approach, as the current model is not viable 4.