Warner Bros. Discovery (WBD) has reported a staggering $9.1 billion write-down of its television networks, signaling a significant decline in the value of its traditional media assets. This write-down, attributed to declining viewership, a weak advertising market, and uncertainty surrounding sports rights renewals, contributed to a net loss of $10 billion for the second quarter of 2024. Analysts suggest that this impairment reflects a structural reset in media valuations, as legacy television struggles against the rise of streaming services. CEO David Zaslav acknowledged that market conditions for legacy media have changed drastically since the company's formation in a $42 billion merger just two years ago. Following the announcement, WBD's shares dropped by nearly 10%, with ongoing speculation about potential asset sales to improve financial stability. The situation underscores the urgent need for WBD to adapt its business model in a rapidly shifting entertainment landscape.