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REPORTABLE SEGMENTS
 9 Months Ended
Sep. 30, 2025
Segment Reporting [Abstract]  
REPORTABLE SEGMENTS REPORTABLE SEGMENTS
The Company’s operating segments are determined based on: (i) financial information reviewed by its chief operating decision maker (“CODM”), the Chief Executive Officer (“CEO”), (ii) internal management and related reporting structure, and (iii) the basis upon which the CEO makes resource allocation decisions.
The accounting policies of the reportable segments are the same as the Company’s, except that certain inter-segment transactions that are eliminated for consolidation are not eliminated at the segment level. Inter-segment transactions primarily include advertising and content licenses. The Company generally records inter-segment transactions of content licenses at market value. The Company does not report assets by segment because it is not used by the CODM to allocate resources or evaluate segment performance.
The Company evaluates the operating performance of its segments based on financial measures such as revenues and Adjusted EBITDA. Adjusted EBITDA is defined as operating income excluding:
•employee share-based compensation;
•depreciation and amortization;
•restructuring and facility consolidation;
•certain impairment charges;
•gains and losses on business and asset dispositions;
•third-party transaction and integration costs;
•amortization of purchase accounting fair value step-up for content;
•amortization of capitalized interest for content; and
•other items impacting comparability.
The CODM uses this measure to assess the operating results and performance of the segments, perform analytical comparisons, identify strategies to improve performance, and allocate resources to each segment. The Company believes Adjusted EBITDA is relevant to investors because it allows them to analyze the operating performance of each segment using the same metric management uses. The Company excludes employee share-based compensation, restructuring, certain impairment charges, gains and losses on business and asset dispositions, and transaction and integration costs from the calculation of Adjusted EBITDA due to their impact on comparability between periods. Integration costs include transformative system implementations and integrations, such as Enterprise Resource Planning systems, and may take several years to complete. The Company also excludes the depreciation of fixed assets and amortization of intangible assets, amortization of purchase accounting fair value step-up for content (which is included in consolidated costs of revenues), and amortization of capitalized interest for content, as these amounts do not represent cash payments in the current reporting period. We prospectively updated certain corporate allocations at the beginning of 2025. The impact to prior periods was immaterial.
The tables below present summarized financial information for each of the Company’s reportable segments (in millions).
Revenues
 Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Streaming$2,633 $2,634 $8,082 $7,662 
Studios3,321 2,680 9,436 7,950 
Global Linear Networks3,883 5,010 13,460 15,407 
Corporate1 4 2 6 
Inter-segment eliminations (793)(705)(3,144)(1,731)
Total revenues$9,045 $9,623 $27,836 $29,294 
Reconciliation of Revenues to Segment Adjusted EBITDA
Three months ended September 30, 2025
StreamingStudiosGlobal Linear Networks
Revenues$2,633 $3,321 $3,883 
Less:
Content expense (a)
1,497 1,843 1,055 
Personnel expense (b)
175 240 479 
Marketing expense210 331 128 
Other segment expenses (c)
406 212 519 
Segment Adjusted EBITDA$345 $695 $1,702 
Three months ended September 30, 2024
StreamingStudiosGlobal Linear Networks
Revenues$2,634 $2,680 $5,010 
Less:
Content expense (a)
1,470 1,675 1,679 
Personnel expense (b)
194 229 524 
Marketing expense263 309 125 
Other segment expenses (c)
418 159 567 
Segment Adjusted EBITDA$289 $308 $2,115 

Nine months ended September 30, 2025
StreamingStudiosGlobal Linear Networks
Revenues$8,082 $9,436 $13,460 
Less:
Content expense (a)
4,601 5,317 4,992 
Personnel expense (b)
552 702 1,480 
Marketing expense724 946 347 
Other segment expenses (c)
1,228 654 1,634 
Segment Adjusted EBITDA$977 $1,817 $5,007 

Nine months ended September 30, 2024
StreamingStudiosGlobal Linear Networks
Revenues$7,662 $7,950 $15,407 
Less:
Content expense (a)
4,736 5,157 5,487 
Personnel expense (b)
587 700 1,638 
Marketing expense905 866 328 
Other segment expenses (c)
1,166 525 1,722 
Segment Adjusted EBITDA$268 $702 $6,232 
(a) Content expense includes amortization, impairments, participations, residuals, development expense, and production costs, including talent costs, and is a component of costs of revenues. Content expense excludes content impairments and other development costs recorded in restructuring and other charges, amortization of purchase accounting fair value step-up for content, and amortization of capitalized interest for content as these items are excluded from the calculation of Adjusted EBITDA.
(b) Personnel expense is a component of costs of revenues and selling, general and administrative expense. Personnel expense includes marketing personnel compensation and excludes commissions (included in other segment expenses) and talent costs (included in content expense).
(c) Other segment expenses include distribution costs, other direct costs, software and hardware costs, IT services, professional and consulting fees, commissions, and certain other overhead costs. Other segment expenses exclude depreciation and amortization, amortization of purchase accounting fair value step-up for content, amortization of capitalized interest for content, employee share-based compensation, third-party transaction and integration costs, and other items impacting comparability as these items are excluded from the calculation of Adjusted EBITDA.
Reconciliation of segment adjusted EBITDA to loss before income taxes
 Three Months Ended September 30,Nine Months Ended September 30,
2025202420252024
Streaming$345 $289 $977 $268 
Studios695 308 1,817 702 
Global Linear Networks1,702 2,115 5,007 6,232 
Segment Adjusted EBITDA2,742 2,712 7,801 7,202 
Depreciation and amortization1,375 1,762 4,369 5,394 
Employee share-based compensation240 157 533 412 
Restructuring and other charges88 9 222 161 
Transaction and integration costs11 33 108 165 
Facility consolidation costs1 2 10 9 
Impairment and amortization of fair value step-up for content79 156 707 913 
Amortization of capitalized interest for content19 8 28 38 
Impairments and loss on dispositions46 5 162 9,412 
Corporate258 296 807 927 
Inter-segment eliminations 14 3 466 (35)
Other expense (income), net30 (30)(191)(188)
(Income) loss from equity investees, net(17)18 (15)89 
Loss (gain) on extinguishment of debt1 (23)(2,953)(590)
Interest expense, net570 494 1,501 1,527 
Income (loss) before income taxes$27 $(178)$2,047 $(11,032)