CNN faces “tears on the horizon” following Warner Bros. Discovery’s announcement last week that it will split into two separate companies, dividing its studios and streaming operations from its cable TV networks, according to media insiders.

The split, expected to be finalized by mid-2026, is seen as a major shift for CNN, which is reportedly being treated as a declining asset dragging down the company’s more profitable ventures, Fox News — ironically — reports.

Just over three years ago, Discovery Inc. merged with WarnerMedia to form Warner Bros. Discovery amid high expectations, with CEO David Zaslav promoting the new entity as “the best place for impactful storytelling.” However, the plan has fallen short. Under the new structure, Warner Bros. Discovery CFO Gunnar Wiedenfels will take charge of the cable division—including CNN—while Zaslav retains control of the studios and streaming businesses.

“Putting a bean counter as CEO sends a very clear message: this is finally the beginning of the long-overdue correction of the [Jeff] Zucker-era excesses,” a media insider close to CNN told Fox News Digital.

Indeed, former CNN chief Jeff Zucker—who was ousted prior to the 2022 merger—was known for offering generous salaries to keep his anchors satisfied. However, insiders now argue that such inflated paychecks are no longer justifiable, especially as CNN continues to struggle with declining viewership.

“It’s not just the overpriced talent. It’s the overpriced producers. The overpriced executives. The superfluous reporters who barely are on the air. All will either be exited or forced to take massive pay cuts,” the media insider said.

“But it will be most devastating for the rank and file,” they continued. “With no union protections, there will be massive layoffs and those remaining will be asked to do the work of their departed colleagues.” The insider added that “everyone should feel some sympathy for what’s about to happen,” even if you aren’t a fan of the liberal network’s product.

CNN has experienced a series of ratings declines in recent months, including its second-worst performance ever in May among the key advertising demographic of adults aged 25-54, both in total day and primetime viewership. The network has lost viewers across all categories compared to 2024 and is on track to record its lowest-rated year ever within that demographic.

CNN CEO Mark Thompson has been trying to highlight digital content amid the collapse of linear ratings. However, a second longtime media industry insider, who previously worked at CNN, does not anticipate any improvement in the situation.

“There’s nothing but tears on the horizon for CNN,” they told Fox News Digital. “They no longer have much value since it’s now easier and cheaper to get video and live reports from news events, especially international events, which is their core competency.

“And their content — especially on CNN.com — isn’t good enough to charge subscriptions,” they continued. “Their revenue model is in collapse, but it’s a slow death. Gunnar has about ten years to squeeze every last penny out of that place before rigor mortis.”

CNN’s domestic network programs generally have more staff than those on MSNBC and other cable news channels, Fox noted. The second insider feels Wiedenfels could “start by making 70% cuts to all show teams for CNN US, bringing their staffing in line with that of their competition” before pivoting to talent salaries.