Paramount has shut down MTV News after 36 years due to broader cost cutting as the company announces it will lay off about 25% of its employees.
After 36 years, MTV News is closing as Paramount Global, the parent company of CBS, Comedy Central, Nickelodeon and Showtime, announced that it is shedding around 25 percent of its staff. In its heyday, MTV News was the definitive source for interviews with the likes of Madonna and Prince.
“This is a very sad day for many friends and colleagues,” continued MTV News’ Josh Horowitz Instagram. “A lot of great people have lost their jobs. I was hired by MTV News 17 years ago. I am very honored to have been a small part of his story. I wish the best in the business all the best.”
Paramount Global is in the midst of significant restructuring, with Showtime merging with MTV Entertainment Studios earlier this year. Despite its continued success in the streaming space, the company experienced a disappointing first quarter.
During Paramount Global’s earnings announcement this week, CEO Bob Bakish said the company is “in a challenging and uncertain macroeconomic environment and you’re seeing the impact of that on our finances as the combination of peak investments in streaming and cyclical advertising weakness concur.”
Chris McCarthy, President and CEO of Paramount Media Networks, emailed employees at Paramount Global just as MTV announced it was reducing its annual awards show amid an ongoing writers’ strike.
“Despite this success in streaming, like many of our competitors, we continue to feel pressure from broader economic headwinds,” writes McCarthy. “Because of that, we made the very difficult but necessary decision to downsize our home squad by about 25%. This is a difficult but important strategic realignment for our group.”
“By eliminating some units and streamlining others as we go forward, we will be able to reduce costs and develop a more effective approach to our business.”