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Segment Information
 9 Months Ended
Sep. 30, 2022
Segment Reporting [Abstract]  
Segment Information SEGMENT INFORMATION
The tables below set forth our financial information by reportable segment. Our operating segments, which are the same as our reportable segments, have been determined in accordance with our internal management structure, which is organized based upon products and services. Beginning in 2022, primarily as a result of our increased strategic focus on our direct-to-consumer businesses, we made certain changes to how we manage our businesses and allocate resources that resulted in the changes described below. Prior period results have been recast to conform to these presentation changes.
Management Structure Change
Our management structure has been reorganized to focus on managing our business as the combination of three parts: a traditional media business, a portfolio of global DTC services, and a film studio. As a result, we realigned our operating segments and accordingly, beginning in the first quarter of 2022, and for all periods presented we are reporting results based on the segments in the tables below (see Note 1 for a description of each operating segment). In connection with the management structure change, we also reassessed our reporting units and reallocated goodwill from the reporting units that existed prior to the change, to the new reporting units, using a relative fair value approach. We performed goodwill impairment tests as of January 1, 2022 on both the reporting units in place prior to the change and the new reporting units and concluded that the estimated fair values of each of the reporting units exceeded their respective carrying values and therefore no impairment charge was necessary.
Intercompany License Fees
Concurrent with the change to our operating segments, we changed the way we record intersegment content licensing. Under our previous segment structure, management evaluated the results of our segments including intersegment content licensing at market value as if the sales were to third parties. Therefore, the licensor segment recorded intercompany license fee revenues and profits and the licensee segment recorded production costs in the amount of the license fee charged by the licensor, which generally reflected the cost to the Company plus a margin. The intercompany revenues and the margin embedded in the cost to the licensee were eliminated in consolidation.
Under our new segment structure, management evaluates the results of the segments using an allocation of the total cost of content from the licensor segment to each licensee segment utilizing the content. As a result, content costs are allocated across segments based on the relative value of the distribution windows within each segment. The allocation is recorded by the licensor segment as a reduction of content cost and no intersegment licensing revenues or profits are recorded.
Three Months EndedNine Months Ended
September 30,September 30,
2022202120222021
Revenues:
Advertising$1,973 $2,039 $6,668 $7,230 
Affiliate and subscription2,000 2,108 6,156 6,303 
Licensing and other975 1,073 3,025 2,899 
TV Media4,948 5,220 15,849 16,432 
Advertising363 348 1,073 857 
Subscription863 542 2,435 1,398 
Direct-to-Consumer1,226 890 3,508 2,255 
Advertising3 2 17 14 
Theatrical231 67 1,126 202 
Licensing and other549 461 1,627 1,777 
Filmed Entertainment783 530 2,770 1,993 
Eliminations(41)(30)(104)(94)
Total Revenues$6,916 $6,610 $22,023 $20,586 
Revenues generated between segments are principally from intersegment arrangements for the distribution of content, rental of studio space, and advertising, as well as licensing revenues earned from third parties who license our content to our internal platforms either through a sub-license or co-production arrangement. These transactions are recorded at market value as if the sales were to third parties and are eliminated in consolidation.
Three Months EndedNine Months Ended
September 30,September 30,
2022202120222021
Intercompany Revenues:
TV Media$9 $19 $33 $38 
Direct-to-Consumer— 1 — 2 
Filmed Entertainment32 10 71 54 
Total Intercompany Revenues$41 $30 $104 $94 
We present operating income excluding depreciation and amortization, stock-based compensation, costs for restructuring and other corporate matters and net gain on dispositions, each where applicable (“Adjusted OIBDA”), as the primary measure of profit and loss for our operating segments in accordance with FASB guidance for segment reporting since it is the primary method used by our management. Stock-based compensation is excluded from our segment measure of profit and loss because it is set and approved by our Board of Directors in consultation with corporate executive management.
Three Months EndedNine Months Ended
September 30,September 30,
2022202120222021
Adjusted OIBDA:
TV Media$1,231 $1,385 $4,155 $4,654 
Direct-to-Consumer(343)(198)(1,244)(490)
Filmed Entertainment41 (24)185 207 
Corporate/Eliminations(104)(111)(320)(351)
Stock-based compensation (a)
(39)(32)(114)(133)
Depreciation and amortization(92)(95)(282)(289)
Restructuring and other corporate matters(169)(46)(276)(81)
Net gain on dispositions41 — 56 116 
Operating income566 879 2,160 3,633 
Interest expense(231)(243)(701)(745)
Interest income33 11 73 37 
Net gains (losses) from investments(9)(5)(9)47 
Loss on extinguishment of debt— — (120)(128)
Other items, net(36)(26)(91)(55)
Earnings from continuing operations before income taxes and
    equity in loss of investee companies		323 616 1,312 2,789 
Provision for income taxes(101)(120)(264)(312)
Equity in loss of investee companies, net of tax(58)(18)(124)(80)
Net earnings from continuing operations164 478 924 2,397 
Net earnings from discontinued operations, net of tax78 73 181 126 
Net earnings (Paramount and noncontrolling interests)242 551 1,105 2,523 
Net earnings attributable to noncontrolling interests(11)(13)(22)(38)
Net earnings attributable to Paramount$231 $538 $1,083 $2,485 
(a) Included in restructuring and other corporate matters is stock-based compensation expense of $11 million and $13 million for the three and nine months ended September 30, 2022, respectively, and $21 million for each of the three- and nine-month periods of 2021.