Wall Street analysts are bullish the move could pave the way for M&A and bring the industry a step closer to rationalization

The move will put the company’s iconic movie studio, prestige TV operation, HBO and HBO Max and DC Studios into a single entity known as Streaming & Studios.

Warner Bros Discovery said it would split into two publicly traded companies, separating its studios and streaming business from its fading cable television networks as the parent of HBO and CNN looks to compete better in the streaming era.