CBS ‘Mornings’ Relocates from Times Square Studio Amid Cost-Cutting Measures
The CBS morning program, CBS Mornings, is abandoning its contemporary Times Square studio, a multi-million dollar investment from just four years prior. The network, facing financial pressures, is reportedly seeking to reduce expenditures, according to sources familiar with the situation.
Return to Former Broadcast Center
CBS Mornings, featuring co-hosts Gayle King, Nate Burleson, and Tony Dokoupil, will be shifting operations back to its less modern, previous location at the CBS Broadcast Center on West 57th Street. This move away from the upscale facilities at 1515 Broadway is confirmed by individuals with direct knowledge of the decision.
Cost Savings Drive Studio Change
“This is entirely about economizing,” stated a network insider. “It signals a lack of competitive drive and represents a step backwards.”
Ratings Slump Coincides with Relocation
The morning program has recently experienced a record low in weekly viewership since its revamp on September 20, 2021. Nielsen data indicates viewership fell below 1.87 million total viewers last week.
Budgetary Mandates and Corporate Restructuring
The relocation, planned for September, is occurring as CBS News CEO Wendy McMahon implements budget reductions. This is part of a broader initiative by parent company Paramount Global to decrease spending by $500 million. These measures are underway as Paramount Global anticipates a potential merger with Skydance Media.
Shared Studio Space and News Division Consolidation
Sources indicate that CBS Mornings will share a smaller studio with CBS Evening News. The evening news program recently underwent changes, including its return to New York from Washington, D.C., following anchor Norah O’Donnell’s departure.
Leadership Under Scrutiny Amidst Financial Strain
Whispers suggest that Wendy McMahon’s position is precarious as network staff express growing apprehension regarding her leadership, another source disclosed.
“A climate of apprehension pervades CBS News,” the source revealed. “Employees are hesitant to speak openly for fear of job loss.”
CBS News has not issued a public statement on the matter.
Times Square Studio’s Uncertain Future
The Times Square location, previously home to MTV’s TRL, was leased by CBS from Paramount Global, formerly ViacomCBS.
Speculation suggests Paramount may seek a new tenant for the CBS Mornings studio. Alternatively, the move could be part of a larger strategy to reduce real estate holdings in anticipation of a change in ownership.
Challenges of a Smaller Studio
Sharing a confined studio with the Evening News team presents challenges, despite recent upgrades to the studio on West 57th Street, such as the installation of an LED floor.
Limited Space for Guest Interviews
“The studio is considerably smaller, lacking adequate space for guest seating when the morning show hosts conduct interviews with prominent figures,” a source noted.
Past Studio Promotion and Staff Discontent
In 2021, CBS News co-presidents Neeraj Khemlani and McMahon promoted the advanced technological capabilities of the Times Square studio upon its launch.
Khemlani stated to NewsCastStudio at the time, “The new studio, situated in Times Square’s core, will provide numerous opportunities for superior production quality, updating our visual presentation while maintaining our dedication to delivering impactful morning news.”
Window Views Obscured in Times Square Location
However, the Times Square studio move was met with disapproval from Gayle King and other staff. The windows facing Times Square were covered, denying street-level viewers a glimpse of the live broadcast, as previously reported.
Anchors now present in front of large LED screens displaying a simulated Times Square backdrop.
Overnight Heating Issues at Times Square Studio
A further point of contention at the Times Square studio was Paramount’s practice of turning off the heat overnight. This resulted in complaints about anchors arriving to a frigid set in the early morning hours.
Leadership Changes and Cost-Cutting Initiatives
Since the relocation to 1515 Broadway, CBS has undergone a series of staff reductions and leadership transitions, including Neeraj Khemlani’s departure in 2023 and Wendy McMahon’s promotion to president and CEO.
Under McMahon’s direction, the network has prioritized centralizing its news operations and utilizing local news affiliates for reporting to achieve further cost reductions.
Ratings Decline Following Personnel Changes
However, the decision to replace Norah O’Donnell with John Dickerson and Maurice DuBoise has thus far resulted in a decline in viewership.