The Walt Disney Company has reportedly decided against spinning off ESPN, an option that had been under consideration in recent months. According to a report by Business Insider, new CEO Josh D’Amaro may revisit the idea in the future, but for now the topic is effectively off the table.
Disney, through its subsidiary ABC Inc., currently owns a 72% stake in ESPN, with Hearst Corporation holding 18% and the National Football League owning the remaining 10%.
ESPN leadership has consistently downplayed the possibility of a spinoff. ESPN chairman Jimmy Pitaro previously emphasized that the network remains central to Disney’s long-term strategy, highlighting the enduring value of live sports across both linear and digital platforms.
Financially, ESPN continues to deliver strong results. The network generated approximately $2.81 billion in operating income in the last fiscal year, reflecting a slight year-over-year decline. However, Disney’s overall sports segment posted a nearly 20% increase in operating income, underscoring the broader strength of its sports portfolio despite rising rights costs and distribution challenges.
Subscriber numbers have declined amid ongoing cord-cutting trends, with Nielsen estimating ESPN reached 61 million households across traditional and virtual pay-TV platforms as of last September. Still, viewership is trending upward, with total-day audiences rising 7% in the first quarter of 2026.
Strategically, ESPN has deepened its ties with the National Football League through a deal that includes acquiring NFL Network assets and new game rights, while also granting the league an equity stake in the network.
Looking ahead, Disney is set to broadcast the Super Bowl in 2027, simulcasting the event across both ABC and ESPN—marking a significant milestone in its sports media strategy.
For now, Disney appears committed to keeping ESPN in-house, reinforcing its belief in the long-term power of live sports, even as industry dynamics continue to evolve.