Paramount+ Profitability and Sub Growth
Q: How will Paramount+ profitability and sub growth trend?
A: Most of the year-over-year improvement in D2C profitability in 2024 will be driven by the domestic Paramount+ business. " While sub growth in 2024 will be lower than in 2023, we expect very healthy Paramount+ revenue growth. " Revenue is more important than subs, and we're feeling very good about the revenue growth trend on Paramount+. " We anticipate domestic profitability in 2025. "

Programming Costs and Strikes Impact
Q: How will programming costs evolve post-strikes?
A: Programming cost growth for Paramount+ in 2024 will be significantly lower than the ARPU growth of over 20%. " We plan to only spend about 50% of the strike savings back in 2024, helping drive healthy free cash flow growth. " The $1 billion charge includes programming and restructuring costs, with about $200 million in restructuring. "

Licensing Revenue Outlook
Q: Will licensing revenue return to previous levels?
A: We expect licensing revenue to grow in 2024, as the impact from the strikes subsides. " Licensing was impacted last year, so this should be a more normal year, though likely back-half loaded. " Licensing helps drive both OIBDA and cash flow, contributing to our goal of delivering free cash flow growth in 2024. "

M&A Interest and Strategic Options
Q: Any comments on M&A and strategic options?
A: We're always looking for ways to create shareholder value, but we won't comment on speculation or timelines. " We're focused on disciplined execution to return to significant earnings growth this year. "

Distribution Contracts and Bundling Strategy
Q: Thoughts on upcoming distribution renewals and bundling?
A: Our content offering is strong and must-have for U.S. pay-TV consumers. " We have many levers in distribution deals, including linear networks and streaming products. " We're big believers in bundling, which can strengthen the consumer proposition, drive subscribers, reduce churn, and lower subscriber acquisition costs. " We have substantial experience with bundling in streaming, both internationally and with partners like Walmart+ in the U.S.. "

Sports Streaming JV and Competitive Positioning
Q: How does the sports JV affect your competitive stance?
A: We believe an integrated sports entertainment strategy creates value, as consumers engage with both sports and entertainment content. " Our sports offerings like NFL, NCAA, and UEFA are locked up into the next decade, providing a sustainable advantage. " The sports JV lacks a full complement of sports, missing half the NFL and other key sports, making it less ideal for true fans. "

Advertising Market Trends
Q: What are the current advertising market trends?
A: We're seeing signs of stabilization in domestic advertising, with healthy scatter premiums. " Sports remains a bright spot, and we're seeing growth in categories like consumer products, quick service restaurants, and retail. " Digital ad revenue is strong, up 14% in the fourth quarter. " We continue to enhance our capabilities in data and measurement to strengthen our position in the digital space. "

Licensing Paramount+ Originals to Third Parties
Q: Will you license Paramount+ originals to third parties?
A: While we recognize the value of our content and know others do too, we continue to believe that building a scaled streaming business is the right path. " We see optionality in licensing but believe using our content to drive asset value creation in the form of Paramount+ is the right plan A. "