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Disney CEO Bob Iger steps down – here's what to watch now

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Disney's Bob Iger steps down from CEO role—Here's what three analysts say about the move

Long-time Disney CEO Bob Iger has stepped down from his role, effective immediately.  

Here's what three analysts say about the move.

Iger ready for new role

Walter Isaacson, Perella Weinberg Partners advisory partner, said Iger will act in a different capacity as executive chairman.

"What's particularly interesting in this transition is Bob Iger saying he's going to spend the next year and a half or however long it is being an executive chairman focused mainly on creative. … He came in not as the creative person. He came in as a business suit so to speak in the Hollywood jargon. I think Bob Iger has great taste, he has great fingertip feel for both television and stars but he's not one of these Hollywood people who is known as … the creative product person so it'll be interesting to see that he decided to cast himself in that role for the next year and a half."

Netflix threat

Chamath Palihapitiya, founder and CEO of Social Capital, said Netflix remains a threat to Disney.

"Netflix has transformed the cord-cutting streaming business into a consumer-surplus business. It's going to basically take margins to zero. And as they do that and as they fight for subscribers, the only way to survive for somebody like Disney is to acquire and to bolt on acquisitions over and over and over again. So, I think you probably need someone who has the wherewithal, the risk tolerance and vision to take that risk."

Why now?

Michael Nathanson of MoffettNathanson questions the timing of the announcement.

"The timing was weird. The timing was not what we expected and not typical Disney. You had a quarter two weeks ago that was a great quarter. You could have done it on the quarter, you could have waited for the next quarter. The timing was weird. … It doesn't seem the answers are quite solid right now. Why now? It could have been two weeks ago, right? So, 'why now?' is the question that people come to us [with] and we don't have an answer for why now."

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