Disney+ Faces Mass Cancellations After Jimmy Kimmel's Controversial Suspension

Last month, Disney+ and Hulu, two major streaming platforms, experienced a significant increase in cancellations after comedian Jimmy Kimmel was briefly suspended from his late-night show. The suspension came after Kimmel made controversial remarks about a shooting involving Charlie Kirk, which led to pressure from a federal regulator. Disney, which owns ABC, decided to take Kimmel off the air, sparking debates about free speech and censorship.

According to data from Antenna, a company that tracks streaming subscriptions, Disney+'s churn rate—the percentage of subscribers who cancel each month—jumped from its usual 4% to 8% in September. This means about three million people canceled their Disney+ subscriptions. Hulu, another Disney-owned service, saw its churn rate rise to 10%, with more than four million cancellations. These numbers are much higher than usual and suggest that the decision to suspend Kimmel may have hurt Disney financially. The backlash was swift, with protests in California and criticism from writers, actors, lawmakers, and organizations like the American Civil Liberties Union. Many people saw the suspension as a violation of free speech and called for boycotts of Disney's streaming services.

Hundreds of celebrities and Hollywood creatives publicly supported Kimmel, and some joined the call to boycott Disney+. Protesters held signs shaped like Mickey Mouse's face, demanding the protection of free speech and the cancellation of Disney and ABC. The new data from Antenna is the first clear sign that Disney's decision had a real impact on its business. While Netflix, another popular streaming service, saw its churn rate remain steady at 2%, Disney+ and Hulu lost millions of subscribers. However, it's not certain that Kimmel's suspension was the only reason for the surge in cancellations. Disney also announced price increases for its streaming services around the same time, which may have contributed to the higher churn rates.

Despite the cancellations, both Disney+ and Hulu saw an increase in new sign-ups in September, which helped offset some of the losses. Disney declined to comment on the situation, and Hulu has not responded. This incident highlights how decisions made by entertainment companies can have wide-reaching effects, especially when they involve issues like free speech and censorship. It also shows how quickly public opinion can shift and impact a company's bottom line. As streaming services continue to compete for subscribers, companies like Disney will need to carefully consider how their actions affect their audience and their business.