Disney CEO Bob Iger Steps DownApril 8, 2021
Bob Iger’s move of stepping down as the CEO of Disney has sent a shock wave in the entertainment industry that has taken a new shape in recent years. His move is effective immediately, but he will remain as the executive chairman throughout 2021 and continue directing content creation in Disney, which is essential to the company. The company’s new chief executive officer is Bob Chapek, Disney’s lucrative park unit head. He became the CEO after Bob’s former deputies failed to secure the position.
Bob Iger became the chief operating officer and president of Disney in 2000, and in 2005 he became the chief executive officer. Taking over Michael Eisner’s role, whose term was ended by the company’s founder’s nephew through a shareholder revolt as he wanted to shake the company’s board.
Iger stepped down in the month when he was turning sixty-nine years old. Despite his age, he was influential in guiding Disney. Through Fox’s entertainment business acquisition, a deal worth $52.4 billion was announced. Under Bob Iger’s guide, the company has undergone an acquisition splurge that has given it in most family-friendly content collections any media company will wish for, including Marvel and Pixar.
In 2019, the attainment strategy enabled Disney to take over the box office, and it generated a record revenue worth $13 billion. With its streaming service, the company also took on Netflix, which already has more than thirty million.
During a phone call with an investor, Bob Iger said his move to step down would let him focus on Disney’s creative side, something he didn’t have time for when he was the company’s chief executive officer. He said his decision to change his title does not have any specific reason. The change will give him sufficient time to collaborate with Bob Chapel as for some time now, the company’s board of directors has seen Chapel as his successor.
However, Bob Iger said two factors led to his decision to step down: the best way to manage Disney in its present form and the best to manage the change and succession. He believes the change will bring out the best outcome. While the news came in as a surprise to the media industry, Iger has been preparing his succession for a while. At Disney’s investor conference, Iger said 2021 would be his year to step down.
The company’s stock declined abruptly in after-hours trading, dropping to 2.7 percent after the announcement. The news was also an instant blow to Disney’s streaming business head Kevin Mayer who was seen as Bob Iger’s potential successor. There are also some speculations that he can still be Disney’s CEO in years to come if he succeeds in the company’s direct consumer business.