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Disney Reels as Kimmel Controversy Causes Stock Plunge and Streaming Crash

In the ever-changing world of entertainment, the decisions of major media companies can often lead to widespread consequences. Disney, one of the biggest names in the business, found itself embroiled in a controversy after the suspension of Jimmy Kimmel Live!, following remarks made by Kimmel regarding Charlie Kirk and Donald Trump.

What was initially seen as a routine programming change quickly turned into a public relations nightmare, triggering both internal and external reactions from every corner of the entertainment world.

jimmy kimmel abc
Credit: ABC Promotional Image

Related: Former Disney CEO Calls Out Iger’s Handling of Jimmy Kimmel Controversy in Scathing Remarks

As the dust settles from this high-profile decision, Disney’s financial position has taken a hit, and it appears that the company’s streaming services are feeling the effects as well. As Disney attempts to manage the fallout from the suspension of Kimmel’s show, they are now facing not just the consequences of the decision itself, but also a major decline in stock price and mass cancellations from Disney+ subscribers.

The trouble began on September 17, 2025, when Disney and ABC announced that Jimmy Kimmel Live! would be suspended indefinitely. This move followed comments Kimmel made about Donald Trump and the assassination of right-wing activist Charlie Kirk.

Donald Trump is interviewed by Terry Moran from ABC News
Credit: Video Screenshot, ‘ABC News Special Report', ABC

Related: Disney Negotiates With Jimmy Kimmel After Sudden Suspension Sparks Outrage

The comments immediately stirred a massive backlash, particularly among Republican circles, with both Nexstar Media and Sinclair Broadcasting announcing they would stop airing the Emmy-winning late-night show.

The suspension was met with widespread condemnation from Hollywood unions. The Screen Actors Guild, Producers Guild, and Writers Guild all expressed their disapproval of Disney’s decision. Protests erupted outside the Disney lot in Burbank, and several Disney stars took to social media to voice their opposition.

Many of these stars even called on fans to cancel their Disney+ and Hulu subscriptions in protest of the company’s handling of the situation.

Jimmy Kimmel and Bob Iger on Jimmy Kimmel Live
Credit: Video Screenshot, ‘Jimmy Kimmel Live!', ABC

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As the controversy unfolded, Disney found itself in the midst of a difficult negotiation process. According to reports, Disney had entered talks with Kimmel and his legal team in hopes of resolving the issue and getting the late-night host back on the air.

However, Kimmel reportedly refused to apologize for his remarks, saying that his comments were being “mischaracterized” and insisting that he would not “kowtow” to the outrage.

Meanwhile, Sinclair Broadcasting, one of the companies pulling the show, sent a list of demands to Kimmel, outlining the steps they expected him to take if he wanted to return to the air. These demands included a direct apology to Charlie Kirk’s family, a donation to both Kirk’s family and his organization, Turning Point U.S.A., and steps to ensure that the show would uphold “the standards expected of a national broadcast platform”.

Jimmy Kimmel Live!
Credit: Video Screenshot, ‘Jimmy Kimmel Live!', ABC

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As the negotiations between Kimmel and Disney continued, the company’s financial situation began to suffer. Disney’s stock dropped more than 2% since the announcement of Kimmel’s suspension, losing an estimated $4.4 billion in market value.

This sharp decline in stock price was a direct result of the fallout from the suspension, with many industry observers predicting further damage if the situation wasn’t resolved soon. Marvel star Mark Ruffalo also warned Disney that the stock could continue to fall if the company failed to bring Kimmel back on air.

A person holds a sign on a city street showing Donald Trump pointing at a sad Mickey Mouse, with "WTF" written above. People, an American flag, and street signs are visible in the background.
Credit: Disney Fanatic

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Meanwhile, the negative impact on Disney’s streaming service, Disney+, was also becoming evident. Subscribers began flocking to the platform’s cancellation page, with many voicing their discontent over the show’s suspension.

One subscriber tweeted,

You better get your sh€t together, @DisneyPlus cos I wanna cancel my subscription but all I’ve been getting for hours now is this, online and on the app. Yeah, that ‘unexpected error’ is a mass cancellation, I guess. When you bow down to fascism, you better expect ppl to act!

The cancellation trend quickly gained traction, and #CancelDisneyPlus started trending on social media as frustrated subscribers shared their experiences. The online protests were significant enough to crash the Disney+ website, further compounding Disney’s public relations crisis.

As of now, the situation remains unresolved. Disney has not yet taken a definitive stance on whether or not Kimmel will return to the airwaves, but the stakes are high. If Disney refuses to reinstate Kimmel, it could signal the permanent end of Jimmy Kimmel Live! on ABC. On the other hand, if Disney and Kimmel can come to an agreement, the show could return to the network in the coming weeks.

What do you think about Disney’s decision to suspend Jimmy Kimmel Live!? Should Kimmel apologize for his remarks, or is this an overreaction? How do you feel about the #CancelDisneyPlus movement? Share your thoughts with us in the comments below.

Krysten Swensen

A born and bred New England girl living the Disney life in Southern California. I love to read, to watch The Golden Girls, and love everything to do with Disney and Universal. I also love to share daily doses of Disney on my Disney Instagram @BrazzleDazzleDisney!

One Comment

  1. Well considering how little people actually watch, the mass cancellations you describe is less than 1%.

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