Sports Illustrated, after facing declining readership and increased competition, has undergone restructuring that included layoffs. Authentic Brands Group, which acquired the magazine in 2019, has been working to diversify its revenue streams and revitalize the brand. The company reports that Sports Illustrated is now thriving.
What happened
Sports Illustrated experienced a period of decline, leading to job eliminations for many writers. Authentic Brands Group purchased Sports Illustrated in 2019 and began implementing changes to reduce reliance on advertising and circulation revenue.
How many employees affected
The exact number of employees affected by the layoffs was not specified in the provided source.
Why layoffs happened
The layoffs were a result of declining readership and the rise of competitors in sports media. Sports Illustrated shifted away from relying solely on print subscriptions.
Company background
Sports Illustrated is a 72-year-old sports magazine that was acquired by Authentic Brands Group in 2019 for $110 million. Authentic Brands Group is a privately held firm that expects $38 billion in global retail sales this year.
Industry impact
Sports Illustrated's struggles reflect the challenges faced by print magazines in the digital age. The magazine has seen a sharp falloff in its circulation, from 3 million in 2010 to 400,000 currently.
What's next
Sports Illustrated is focusing on generating revenue through streaming TV, branded events, ticket services, and international editions. Authentic Brands Group aims to grow the magazine’s cultural appeal among younger audiences through a diversified business model.