Showtime is not profitable and they couldn't find a buyer to assume the debt. McCarthy now has until 2025 to turn it around. It truly is "Showtime".
Paramount plans to merge its Paramount+ and Showtime businesses, a consolidation of linear and streaming entertainment that will likely lead to both layoffs and show cancellations.
https://fortune.com/2023/01/31/showtime-paramount-merge-faq-what-it-means-for-you/
Both the Showtime linear pay-TV channel and the premium tier of Paramount+ will be rebranded as Paramount+ With Showtime, with Chris McCarthy to lead the Showtime studio and linear channel, while Tom Ryan oversees the streaming business.
“We think Showtime is doing $2 billion in revenues on a roughly $1 billion content budget,” he wrote. “Assuming marketing, tech and general & administrative [expense] is another about 20 percent of sales, implies $400 million of costs and Showtime generating approximately $600 million in earnings before interest, taxes, depreciation and amortization.”
“If Paramount cuts half of Showtime’s selling, general & administrative, that’s around $200 million, plus additional direct-to-consumer cost actions could drive total cost savings in the $300-$400 million range, or around 5-6 percent of Paramount’s ‘22 estimated selling, general & administrative [expense].”
https://www.hollywoodreporter.com/business/business-news/paramount-plus-showtime-merger-savings-wall-street-analysts-1235313528/