The Walt Disney Company is reportedly putting a pause on plans to spin off ESPN, choosing instead to keep the sports network inside the company as it focuses on expanding its streaming business.
The move is one of the first major decisions under new CEO Josh D'Amaro, who stepped into the role in March.
According to reports, Disney does not see a clear path for an ESPN spinoff in the near future, though the option could still be revisited later.
Sources said the company believes keeping ESPN in-house will help strengthen its shift toward streaming.
"Instead, the sports network will stay inside the media giant, which thinks its presence will help its pivot to streaming," the report noted.
For years, industry watchers have speculated that separating ESPN could help Disney deal with losses tied to cable TV.
The idea gained attention after former CEO Bob Iger revealed in 2015 that ESPN was losing subscribers as more viewers began cutting the cord, FoxBusiness reported.
That trend has only grown stronger. Many households now skip traditional cable packages, choosing streaming services instead.
This shift has raised concerns that ESPN's cable business could drag down Disney's overall value.
BREAKING: Disney has decided to keep ESPN, reversing previous consideration of a spin-off pic.twitter.com/Me8eU9g2cN
— Exec Sum (@exec_sum) April 28, 2026
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ESPN Revenue Hits $17.7B
Despite those concerns, Disney appears to see more value in keeping ESPN as part of its broader strategy.
According to LGM Corp, the network is already expanding beyond cable. In 2025, ESPN became available outside the traditional bundle, giving fans more flexible ways to watch sports.
Today, Disney offers ESPN across several platforms. These include a cable bundle, a streaming package with Hulu and Disney+, and a direct-to-consumer option for sports fans who want access without a full TV plan.
The company is also leaving the door open to other options. Reports say Disney could still bring in strategic partners to invest in ESPN.
Last year, the company sold a 10% stake in the network to the National Football League, showing it is willing to explore partnerships while keeping control.
Financially, ESPN remains a major part of Disney's business. The sports division brought in about $17.7 billion in revenue last year, making up nearly one-fifth of the company's total earnings.
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