In a significant move reflecting the ongoing challenges faced by traditional cable television, Comcast is advancing plans to spin off its NBCUniversal cable networks, including prominent channels like MSNBC and CNBC. This decision comes as the company grapples with the impact of the streaming video revolution, which has significantly eroded cable TV subscriptions and viewership.

Sources indicate that Comcast will formally announce the spinoff on Wednesday, with the new entity expected to be well-capitalized and positioned to potentially acquire other cable networks in the future. Comcast President Michael Cavanagh highlighted the opportunity for growth during the company's third-quarter investor call, stating, "We think there could be an opportunity to play some offense."

The spinoff will include several cable news and entertainment channels such as USA, E!, Syfy, and the Golf Channel, while Comcast retains ownership of its NBC broadcast network, film and television studios, theme parks, and the Peacock streaming service. The cable networks, which generated approximately $7 billion in revenue over the past year, were once considered a core part of Comcast's business but have become less profitable in the face of rising competition from streaming platforms.

The decision to separate these channels is seen as a strategic response to the declining value of cable assets, a trend that has also affected other major media companies. For instance, Warner Bros. Discovery and Paramount Global have recently taken substantial write-downs on their television assets, reflecting the broader industry shift.

As part of the restructuring, Mark Lazarus, currently the chairman of NBCUniversal's media group, is expected to lead the new company. This move is part of a larger strategy to streamline operations and focus on more profitable segments of the business, as Comcast aims to adapt to the changing media landscape.

The spinoff is anticipated to be completed by late 2025, pending any unforeseen challenges. Analysts suggest that this separation could enhance Comcast's valuation and allow the new entity to explore further consolidation opportunities within the media industry. As the cable landscape continues to evolve, Comcast's decision marks a pivotal moment in its corporate strategy, aiming to position itself for future growth in an increasingly digital world.