Financiers Are Concerned About Disney, Urge Television Shutdown After Jimmy Kimmel Returns
Following the controversy surrounding Jimmy Kimmel Live!, Disney is facing increased pressure from financiers who believe the company should pull its ABC television content and move it to streaming platforms. The concerns come after Kimmel’s return to the airwaves, following a suspension due to backlash over his remarks about political activist Charlie Kirk’s assassination.
Last week, The Walt Disney Company indefinitely suspended Jimmy Kimmel Live! after Kimmel mocked President Trump’s response to the news of Kirk’s death. Trump had said he was “very good” in reaction to a question about how he was handling the death of his friend, before moving on to discuss the construction of a new ballroom at the White House. Kimmel ridiculed Trump’s response, and also criticized the “MAGA gang” for trying to paint Kirk’s alleged killer “as anything other than one of them.”
In the wake of these comments, broadcasting giants Nexstar and Sinclair decided not to air Jimmy Kimmel Live!, demanding an apology from Kimmel and a donation to Kirk’s conservative nonprofit, Turning Point USA, before agreeing to broadcast the show again. The Federal Communications Commission (FCC), under Chairman Brendan Carr, also raised the possibility of an investigation into Kimmel’s comments.
The suspension has ignited a national debate over free speech, government influence, and censorship. Many viewers, regardless of political leanings, criticized Disney for caving to outside pressure. As a result, some Disney+ subscribers and theme park guests canceled their memberships and trips, citing their discontent with how Disney handled the situation.
President Trump also entered the debate, claiming that Kimmel’s suspension had more to do with low ratings than with any issue of censorship: “Jimmy Kimmel was fired because he had bad ratings more than anything else, and he said a horrible thing about a great gentleman known as Charlie Kirk. They should have fired him a long time ago, so you know, you can call that free speech or not. He was fired for lack of talent.”
Amid this growing controversy, financiers have become increasingly concerned about Disney’s direction, especially regarding its television content. In a client note, brokerage firm Needham urged Disney to move away from traditional television and focus on streaming platforms. According to Reuters, the firm argued that the rising costs of holding broadcasting licenses, paired with increased government scrutiny, made the television business too unstable for Disney’s shareholders.
“FCC intervention has made owning broadcasting licenses too expensive and too volatile for Disney shareholders, in our view,” Needham wrote.
Disney has not commented on the recommendation, and ABC continues to air content. Jimmy Kimmel Live! is unavailable to a portion of American viewers due to preemptions by Sinclair and Nexstar. However, those who were unable to watch the return of Kimmel’s show can find full episodes on streaming platforms such as DirecTV, Hulu + Live TV, and Fubo, while clips can be found on YouTube and ABC.com.
Did you watch the return of Jimmy Kimmel Live! on Tuesday night? Let Disney Dining know in the comments!
