International Insider: Animated In Annecy; Warner Split; Sarandos In Spain

Good afternoon Insiders, welcome to another newsletter after a busy old week during which many of us have been on the road. Do scroll down. And sign up here.

Animated In Annecy

Power of the craft: There’s no better way to remind yourself of the power of animation than to head to Annecy in June. The beautiful French city was transformed for the Annecy International Animation Film Festival, which has over the years taken on a Comic-Con-esque skew towards fandoms. With Simpsons creator Matt Groening, Bojack Horseman’s Raphael Bob-Waksberg and the likes of Bob’s Burgers director Tyree Dillihay in town, that’s no wonder. The vibe was phenomenal, and the hot, sunny weather, which positively shimmered across Lake Annecy, didn’t exactly hinder things. In the spotlight were a ream of big-budget upcoming projects including The Cat in the Hat, Bad Guys 2, Goat and Fixed, along with masterclasses on evergreens such as The Simpsons. There were also animated spin-offs of hot franchises coming up, with Netflix unveiling the first look and feel of Stranger Things: Tales From ’85 to a packed crowd. But as with any genre in this era of “industry contraction,” not all is well. Execs we spoke with on the ground are highly concerned by the lack of greenlights, while the industry has been shrinking its workforce down a fair bit of late. Adam Muto, showrunner of Adventure Time, appeared to be almost pleading when he urged commissioners to get ordering. “Greenlight stuff… you gotta greenlight,” he said as he raised fears the sector is losing “idiosyncratic voices.” BoJack’s Bob-Waksberg told us similar. Then there are the dangers of AI, particularly pronounced in a sector that leans so heavily on tech and VFX. Small protests took place outside AI-related sessions and a coalition held an open-air meeting close to the festival’s Bonlieu hub yesterday. Tough times lie ahead in animation, but Annecy 2025 reminded us that it is a craft worth protecting.

Warner Split

“Free and clear” for dealmaking: Consolidation or separation? Or maybe a bit of both. On Monday, news came earlier than many had expected that Warner Bros. Discovery (WBD) would be splitting in two – with David Zaslav taking on the streaming and studios behemoth and CFO Gunnar Wiedenfels lumped (sorry Gunnar) with global networks. “By operating as two distinct and optimized companies in the future, we are empowering these iconic brands with the sharper focus and strategic flexibility they need to compete most effectively in today’s evolving media landscape,” said Zaslav. Have fun unpicking your way through that one. The move is not hugely surprising and pivots WBD similarly to Comcast, which recently spun some cable networks into a new firm, Versant. Many commentators are already predicting a Versant-Global Networks merger. Question marks were raised over the impact on international or if there could be any shrinkage outside the States, and answers are not immediately forthcoming. While the move appears initially as a de-consolidation play, Wiedenfels told Wall Street analysts that both companies will be “free and clear” for dealmaking as soon as the split is complete. We’ve heard from sources in Europe who say little has been communicated internally and fears over job security are palpable. Chatter also abounds over whether 65-year-old Zaslav is beginning to think about taking a leaf out of one of his HBO tentpoles and putting in place a succession plan, with content supremos Casey Bloys and Channing Dungey appearing to be two lead names in the frame. More to come on this one as the American media M&A space makes another lurch forwards.

Sarandos In Spain

Dali masks and jumpsuits: Netflix does love a splashy spending anno. While Zaslav was upending the WBD boardroom, his Netflix opposite number, Ted Sarandos, was 3,500 miles away at the Tres Cantos site in Madrid unveiling a $1B Spanish spending promise that matches a recent pledge in Mexico. The Netflix chief was flanked by Pedro Sanchez, the President of Spain, as he announced the commitment and lauded the country’s creators for producing hits like Society of the Snow, Elite and, of course, Money Heist, the latter being one of the shows that truly put streamers’ non-English language work on the map. “Dali masks, red jumpsuits, Bella Ciao – all of them have become instantly recognisable parts of the global culture,” said Sarandos. During a time of industry contraction, Netflix has consistently been keen to be seen to be spreading its international wings and not holding back on commissioning local content. With hits like the UK’s Adolescence it’s no wonder. On Wednesday, Sarandos’ Co-CEO Greg Peters told a Wall Street Journal CEO Council in London on Wednesday that the UK production ecosystem is a “great example” for the U.S., and it appears Netflix is equally hot on the Spanish-speaking world.

NEM At Work

Euro-pudding off the menu: NEM, the primary TV conference and market focused on Central and Eastern Europe, has become a fixture for local and international players trying to pave a path forwards. This week’s event saw plenty of talk of how to navigate the many challenges facing the TV biz, but affairs at NEM were conducted with some style, with a diary of cocktails and events taking place against a stunning Croatian backdrop. The surroundings allow for some more relaxed chatter away from the conference and exhibition floor. Amazon MGM Studios Distribution wheeled through its slate, as did Lionsgate, Disney and others at the Dubrovnik Palace Hotel venue. Lionsgate showed the first footage from MGM+ series Robin Hood, we heard from people in the room, but that session was closed to press, so that’s about all we know. Euro gatherings inevitably cover co-production and the discussion often boils down to: ‘Let’s try not make a Euro-pudding.’ Truth be told, that line is feeling a bit tired. NEM regular Frank Spotnitz managed to say something new, suggesting co-pros are actually more difficult now, in an era of polarizing politics. “Culture, like politics, has become more nationalist,” he said. “If [a project] is French, it’s got to be really French. If it’s British, it’s got to be really British. It’s very hard to find something editorially that makes buyers from two different countries feel confident.” Other highlights included analysis of the proposed U.S. tariffs on production. “Patently ridiculous” was the Ampere Analysis take on some of the measures suggested by Jon Voight and his pals.

Chaos & Curfew In L.A.

Unrest: It’s been a difficult year for L.A. It’s easy to forget that less than six months ago the city where Deadline has its HQ was being hit with generationally bad wildfires. Half a year later, it is local protests over raids targeting immigrant workers and the response of Donald Trump that have sent the latest set of ructions through the home of Hollywood. The week has been a topsy-turvy one that has seen an amped-up war of words between Trump and California governor Gavin Newsom end in a curfew for some parts of the city, which we reported has been impacting theaters, concert events and cinemas. In a quickly organized primetime address on the fifth day of unrest, Newsom lambasted the “brazen abuse of power by a sitting president inflaming a combustible situation, putting our people, our officers and even our National Guard at risk.” The Trump era has a tendency to eschew surprise, but this kind of language from a governor aimed at an incumbent president feels unprecedented. Newsom almost regained control of the California National Guard troops yesterday before judges passed back control to Trump, at least for now. The debacle also provided a stark reminder of the dangers of protest reporting. Earlier this week, Lauren Tomasi, the U.S. correspondent for Australia’s 9News, appeared to be shot by a rubber bullet while reporting on the immigration protests. Almost instantly, 9News claimed Tomasi was deliberately targeted by a police officer.

The Essentials

🌶️ Hot One: Stormzy is launching #Merky Films with a Netflix deal and starring role in short film Big Man.

🌶️ Another One: Universal International Studios and Working Title have won the rights to Little Hands, a partial manuscript by Celia Walden, for TV adaptation.

📹 Casting: More are entering the Harry Potter universe including Dursley, Malfoys and Weasleys.

🗣️ Big interview: The producers behind Cielo told Diana about shooting in Bolivia.

🏪 Setting up shop: Noah Lyles and Box to Box Films have teamed on Iconic Productions.

👩🏽 New job: For ITV Studios’ Angela Jain, who will run EMEA content for Disney+.

📋 Preview: APOS Exec Director Vivek Couto outlined the urgent issues in Asia ahead of the Bali C-suite confab.

⛺ Festival latest: Kim Novak will receive Venice Film Festival’s Golden Lion for lifetime achievement.

🌍 Global Breakouts: Our Annecy-themed breakout was French movie-turned-TV-show Pil’s Adventures.

🍿 Box office: Estimates for the live action How to Train Your Dragon through Sunday point to the $110M range.

Stewart Clarke contributed to this week’s International Insider. It was written by Max Goldbart and edited by Jesse Whittock.