Over the past few days, we’ve learned a LOT about the future of the Walt Disney Company.

On July 12th, 2023, it was announced that Disney CEO Bob Iger’s contract with the company would be extended through 2026, which would allow for project continuity and more preparation for succession. Now, Iger has revealed even more about the company’s plans for upcoming changes.

On July 13th, 2023, CEO Bob Iger met with David Faber on “Squawk Box” to discuss the future of the Walt Disney Company’s endeavors within the entertainment and streaming industry. In the livestream, Iger alluded to the fact that Disney could be selling off linear networks, which might include networks like ABC, FX, and National Geographic.

We learned from previous quarterly earnings calls at the beginning of fiscal 2023 that Disney’s income from operating linear networks on both domestic and international TV fell by 35% to only about $1.8 billion, which, according to the Wall Street Journal, was a shockingly fast decline — even as cable TV is beginning to phase out more rapidly. Earlier in the year, rumors had already started to circulate that ESPN would be among the assets that Disney was planning to do away with.

However, Iger shared with Faber on July 13th that the Company is “bullish about sports, in general,” and that, “sport stands tall in a sea of tremendous choice… It’s an advertiser’s dream.”

So, while Iger hinted at the selling of linear networks, it’s likely that ESPN will stick around with Disney for the opportunity that lies within sports entertainment. Specifically, it sounds like the main reason that Disney is holding onto ESPN is for the huge advertising profits.

The Company is looking for strategic partners that can help the platform with content production and longevity as the streaming industry continues to grow. Iger also shared that he was open to sharing stakes in ownership of ESPN.

What do you think about these potential changes and Disney’s decision to continue to invest in sports broadcasting? It seems that there is a lot of opportunity for Disney that lies within sports.

We’ll continue to keep you updated with any and all Disney news and updates, so be sure to follow along for more.

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What do you think about these new changes that Disney could be making? Let us know in the comments!

The post The REAL Reason Why Disney Won’t Let Go of ESPN first appeared on the disney food blog.