Disney Stock Drops Amid Streaming Subscriber Exodus Following Kimmel Suspension
Disney shares (DIS) tumbled in September as its streaming platforms faced unprecedented subscriber churn. The suspension of "Jimmy Kimmel Live!" after controversial comments about a high-profile shooting triggered a backlash, with cancellation rates doubling across Disney+ and Hulu.
Analytics firm Antenna reported Disney+ cancellations surged to 8% from 4%, while Hulu's ROSE to 10% from 5%. In absolute terms, this translated to 3 million and 4.1 million lost subscriptions respectively—far exceeding seasonal norms. The data reveals how cultural flashpoints can rapidly destabilize subscriber bases.
The incident underscores the fragility of streaming economics when content decisions collide with audience sentiment. Unlike cryptocurrency markets where decentralized governance often mitigates single-point-of-failure risks, traditional media giants remain vulnerable to centralized decision-making backlash.
