Disney Lays Off Hundreds as Streaming Wars Reshape Entertainment

Disney is making cuts once again, laying off several hundred employees across its entertainment divisions. The layoffs, announced Monday Deadline reported, are the latest step in the media giant’s ongoing effort to adapt to a rapidly changing industry landscape.

The cuts, which primarily affect teams in Disney Entertainment handling marketing, publicity, casting, and corporate finance, come as the company seeks to “operate more efficiently,” a Disney spokesperson told USA Today. No entire departments are being eliminated, but the move is part of a broader push to slim down operations.

Among those cut is Eric Souliere, VP Casting for 20th Television, according to another Deadline report. Tony Tompson, VP Content Development at Hulu Originals will end his six-plus year tenure with the company. Other executives have recently left when their contracts were up, and it does not appear that they were part of the layoffs. 

The entertainment industry has been grappling with a shift in consumer preferences from traditional TV and movies to streaming platforms like Disney+. The transition has strained legacy businesses and prompted cost-cutting measures across major studios. Disney is no exception. 

Since Bob Iger returned as CEO in 2022, he has made cost containment a priority. In early 2023, Iger announced plans to slash 7,000 jobs and trim billions in spending. This latest round continues that trajectory.

Previous cuts at Disney have included layoffs in corporate operations, such as legal, HR, finance, and communications, as well as at marquee brands like National Geographic, Pixar, and Freeform. Just this March, Disney trimmed nearly 6% of its staff, about 200 positions, across ABC News and Disney Entertainment Networks.

Despite the layoffs, Disney’s recent earnings report shows a company in transition. For the second quarter of 2025, the company reported revenue of $23.6 billion, a 7% increase from the prior year. The report also highlighted a surge in Disney+ subscribers, which grew by 126 million during the first quarter of 2025 alone.

This latest wave of layoffs underscores the company’s efforts to balance the demands of a shifting entertainment landscape with its financial health. With consumer interest increasingly focused on streaming, Disney’s strategy appears centered on shedding costs and doubling down on digital platforms.