Bob Chapek, who became CEO of Disney in February 2020, will be replaced by Iger.
Bob Iger, the former CEO of Walt Disney Co., is unexpectedly joining the media giant as CEO less than a year after his retirement. This comes as the entertainment corporation battles to make its streaming TV services a successful enterprise.
Iger, who stepped down as CEO last year after 15 years in that position, has decided to continue in that role for another two years, Disney announced in a statement late on Sunday. Bob Chapek, who became CEO of Disney in February 2020, will be replaced by him.
While Chapek guided Disney through the COVID-19 pandemic, this month’s earnings report from Disney dismayed investors by revealing ongoing losses at its streaming media division, which includes Disney+.
The statement from Susan Arnold, chair of Disney’s board, stated that “the Board has concluded that as Disney embarks on an increasingly challenging phase of industry upheaval, Bob Iger is uniquely equipped to lead the Company through this important period.”
Disney’s board unanimously decided to extend Chapek’s contract for an additional three years in June.
Disney was accused of standing silent over Florida legislation that would have limited classroom discussion of sexual orientation and gender identity during Chapek’s brief tenure, which led to an internal culture war.
As Disney spearheaded the entertainment sector’s fight against Netflix in the streaming wars, Iger left the firm on a high note. As the business plans for significant cost reductions, the economic slowdown and high lending rates have impacted Disney+.
Iger wrote in a memo to staff members seen by Reuters: “I am an optimist, and if I learned one thing from my years at Disney, it is that even in the face of uncertainty—perhaps especially in the face of uncertainty—our employees and Cast Members do the impossible.”
Employees were surprised by the leadership transition, according to a corporate source.
