News

Disney Faces FCC License Heat, But ‘The Bear’ Ad Revenue Keeps Cooking

Disney (DIS) is under FCC scrutiny over its ABC broadcast licenses, but the fifth season of FX hit ‘The Bear’ sold out its ad inventory for the fifth straight year, with revenue growing each season. Shares closed the week at $99.50, up 3.96%.

OurAlpha

04 Jul 2026 — 4 min read

Disney navigates regulatory pressure and content monetization strength.

Disney (DIS) was in the spotlight this week as the FCC launched a review of its ABC broadcast licenses, but the news that FX’s hit series The Bear sold out its season 5 ad inventory offered investors a different lens. By the weekend close, Disney shares were at $99.50, up 3.96% from the prior close.

Disney (DIS) last traded at $99.50, up 3.96% from the prior close of $95.71. The stock opened at $96.40, hit a high of $99.515 and a low of $95.77 (weekend close).
FCC Chairman Brendan Carr said the agency will review license renewals for ABC’s stations, citing programs including The View.
FX’s The Bear season 5 premiered June 25 on Hulu and Disney+. Its ad inventory sold out for the fifth consecutive year, with revenue growing year-over-year each season.
Disney’s ABC aired a Nightline Independence Day special on July 3, celebrating America’s 250th anniversary.
Earlier this week, Paramount agreed to exit its joint distribution venture with Universal (UIP) as a condition for EU approval of its merger with Warner Bros. Discovery.

Disney (DIS) faced regulatory pressure this week from the Federal Communications Commission (FCC), as Chairman Brendan Carr announced a review of broadcast licenses for Disney’s ABC stations, including programs like The View. The news drew widespread attention in media and political circles. At the same time, Disney’s FX cable network reported that ad inventory for its hit series The Bear season 5 was completely sold out, underscoring the strong pull of its content in the ad market. As of 3 p.m. ET on July 4 (weekend close), Disney shares were at $99.50, up 3.96% from the prior close of $95.71. The stock hit an intraday high of $99.515 and a low of $95.77.^[^{Fox News}^]

FCC Review of ABC Licenses Heats Up Political Pressure

FCC Chairman Brendan Carr recently stated that the agency will conduct a rigorous review of the renewal applications for Disney’s ABC broadcast licenses. Carr pointed to content on ABC’s The View and other programs as potentially violating the public interest, and said the FCC will conduct a full evaluation of the renewal applications under the Communications Act. According to Fox News, Carr emphasized in a statement: “A broadcast license is not a permanent right. Licensees must continuously demonstrate that their service serves the public interest.”^[^{Fox News}^]

The review is seen as a continuation of tighter scrutiny on mainstream media during the Trump administration. The FCC has previously investigated license issues at several large media groups. Disney has not yet issued a formal response to the FCC review. Analysts note that ABC owns eight stations and has more than 200 affiliates, so any prolonged license uncertainty could create operational headwinds for Disney’s broadcast business.

‘The Bear’ Ad Revenue Defies Gravity, Content Monetization Shines

Beyond the regulatory cloud, Disney’s content business delivered a positive signal. According to Adweek, FX’s hit series The Bear season 5 premiered June 25 on Hulu and Disney+, and its ad inventory sold out for the fifth straight year, with revenue growing year-over-year each season. John Campbell, SVP of Entertainment & Streaming Solutions at Disney Advertising, told Adweek: “Since The Bear became a phenomenon with its 2022 debut, sponsorship has sold out every quarter. Brand enthusiasm for the show remains incredibly high.”^[^ADWEEK^]

Campbell added that The Bear’s success has also boosted advertiser interest in other FX and Disney shows. “Before, brands would typically take a wait-and-see approach with new or first-season shows. Now they’re willing to get involved earlier.”^[^ADWEEK^] This trend highlights Disney’s growing competitiveness in the streaming ad market, especially with its dual-platform distribution strategy on Hulu and Disney+ drawing stronger advertiser interest in premium content.

ABC Independence Day Special and Paramount Merger Progress

On Friday, July 3, Disney’s ABC aired a Nightline Independence Day special titled “Disney Celebrates America,” showcasing the American spirit of “life, liberty and the pursuit of happiness” through ABC News’ lens. The program revisited decades of ABC News archival footage, including the “magic moments” when early television cameras first rolled.^[^{Modern Ghana}^]

Meanwhile, another major media deal — the merger of Paramount and Warner Bros. Discovery — took a step forward. According to Variety, Paramount agreed to exit its joint distribution venture with Universal (UIP) as a condition for European Commission approval of the $111 billion acquisition of WBD. The EC extended the provisional deadline for the merger review from July 7 to July 22. A Paramount spokesperson said: “We have submitted remedies to the European Commission that we believe directly and comprehensively address any concerns raised in the Commission’s preliminary assessment.”^[^{Variety Australia}^]

The merger also faces scrutiny from the UK government. Culture, Media and Sport Secretary Lisa Nandy said she is concerned about whether “the people who control UK media are sufficiently diverse” after the deal. Saudi Arabia’s Public Investment Fund (PIF), Abu Dhabi’s L’imad Holding Company, and the Qatar Investment Authority (QIA) will jointly invest $24 billion in the merger.^[^{Variety Australia}^]

FCC Satellite Licensing Reform and C-Band Spectrum Auction

The FCC also plans to vote on July 22 on a satellite licensing reform order (the Space Modernization Order) to create a “license assembly line” process for handling increasingly large and complex satellite constellations. The order would replace the long-standing Part 25 space and earth station rules with new Part 100 regulations, revising application procedures for processing rounds, license terms, and bond requirements. FCC Chairman Carr said: “The right regulatory framework will determine whether America wins Space Race 2.0.”^[^SpaceNews^]

On the same day, the FCC will also vote on whether to authorize an auction of 160 MHz of upper C-band spectrum (3.98-4.14 GHz band) in 2027. That spectrum is currently used primarily by a Luxembourg-based multi-orbit operator and sits close to frequencies relied on by aircraft radio altimeters.^[^SpaceNews^]