Who owns Time Warner? As of March 2019, Time Warner no longer exists as an independent entity. It was acquired by AT&T Inc., an American multinational telecommunications conglomerate. The acquisition was completed on June 14, 2018, for approximately $85.4 billion, and the Time Warner name was changed to WarnerMedia. So, ultimately, AT&T owns WarnerMedia (formerly Time Warner).
Company History
Time Warner, now known as WarnerMedia, is a large American multinational media conglomerate. Its origins can be traced back to the merging of two pioneering media companies, Warner Communications and Time Inc., in 1990. Here’s an overview of the ownership history of Time Warner and its predecessors:
1. Warner Communications:
Established in 1972, Warner Communications emerged from the acquisition and merger of multiple companies with Warner Bros., a leading Hollywood studio. Some important Warner Communications properties included Warner Bros. Pictures, Warner Bros. Television, Warner Cable, DC Comics, video game company Atari, and several record labels.
2. Time Inc.:
Time Inc. was a prominent American publishing business founded in 1922 by Henry Luce and Briton Hadden. Time Inc. quickly gained significance in the publishing industry with its flagship publication, TIME magazine. As the company expanded, it entered the entertainment industry with the acquisition of several cable TV businesses such as Home Box Office and American Television and Communications.
3. Time Warner:
In 1990, Warner Communications and Time Inc. merged to form Time Warner Inc. This merger combined the respective strengths of the two corporations, creating a robust portfolio of movies, television, print, and cable assets. Time Warner’s businesses spanned film, television, publishing (including the Time Inc. magazines), and cable networks like HBO, Turner Broadcasting System, and New Line Cinema.
4. America Online (AOL) and Time Warner:
In 2000, there was a major, albeit short-lived, ownership change as AOL, an internet service company, acquired Time Warner in a $165 billion deal. This merger formed AOL Time Warner, aiming to capitalize on the convergence of the internet, content, and entertainment. However, the merger failed to deliver the anticipated synergistic benefits, and in 2003, Time Warner reverted to its original name, dropping the AOL branding.
5. Time Warner Cable Spin-off:
In 2009, Time Warner spun off Time Warner Cable, its cable systems unit, into a separate, publicly traded company. The move aimed to facilitate better growth opportunities for each entity independently.
6. Acquisition by AT&T:
In 2018, AT&T, a major telecommunications provider, acquired Time Warner Inc. in a deal worth $108.7 billion, including debt. This acquisition led to the creation of WarnerMedia, which is now a subsidiary of AT&T. The merger was designed to leverage AT&T’s broad distribution network and Time Warner’s extensive content library. In conclusion, Time Warner, now known as WarnerMedia, has undergone significant ownership changes since its inception. Starting with the merger between Warner Communications and Time Inc.
in 1990 to its acquisition by AT&T in 2018, the company’s journey reflects the constant evolution of the media industry. Currently, WarnerMedia is a subsidiary of AT&T, operating as one of the largest media conglomerates in the world.
Who was the original founder?
Time Warner was originally founded as Warner Communications Inc. in 1972, following the merger of Warner Bros.-Seven Arts and Kinney National Company. However, the initial foundation of the company can be attributed to its predecessor, Warner Brothers, which was established by the four Warner brothers – Harry, Sam, Albert, and Jack Warner. Harry Warner, born Hirsz Wonsal in 1881 in Krasnosielc, Poland, was the eldest of the brothers.
He and his siblings emigrated to the United States in the late 19th century, and they changed their last name to Warner. In 1903, they opened up the Cascade Movie Palace in Pennsylvania. Harry drove theater operations, utilizing his aptitude for business and management, while the other brothers contributed in various capacities. Encountering success, the brothers expanded their theater chain and soon entered film distribution.
Warner Feature Film Exchange
By doing so, they established Warner Feature Film Exchange in 1912. In 1918, they ventured into film production, acquiring a majority stake in the production company, First National Pictures. The brothers, particularly Harry and Sam, achieved a breakthrough in the movie industry by using the Vitaphone sound-on-disc technology, allowing for the production of the first synchronized sound feature film, “The Jazz Singer,” in 1927. This innovation led to the rise of talkies, entirely changing the film industry landscape.
Together, the Warner Brothers built their film business into a very successful and powerful studio, which eventually became a part of Time Warner following multiple mergers and evolutions. Throughout his life, Harry Warner remained an influential figure in the entertainment world, contributing to the maturation and growth of the industry until his death in 1958.
FAQ – Who Owns Time Warner
Who currently owns Time Warner?
Time Warner was acquired by AT&T Inc. in 2018, and the company is now part of the AT&T family.
When did AT&T acquire Time Warner?
AT&T acquired Time Warner in June 2018.
How much did AT&T pay for Time Warner?
AT&T acquired Time Warner for approximately $85.4 billion, making it one of the largest mergers and acquisitions in history.
Why did AT&T acquire Time Warner?
AT&T acquired Time Warner in order to diversify its business and compete with other major players in the communications, media, and entertainment industries. The acquisition allows AT&T to combine its telecommunications and networking assets with Time Warner’s vast array of content, including television and film production, cable channels like HBO, and the Warner Bros. film studio.
What is Time Warner now called?
After the acquisition by AT&T, Time Warner was renamed WarnerMedia. The company now operates as a subsidiary of AT&T Inc.
What major brands and companies are part of WarnerMedia?
WarnerMedia’s subdivision includes several major brands and companies such as HBO, Warner Bros. Studios, CNN, Turner Broadcasting System, DC Comics, and many others.
