Disney Submits Broadcast License Renewals 'Under Protest' Amid FCC's DEI Investigation

Disney shot back at the Federal Communications Commission on Thursday as part of an early renewal process for broadcast licenses for eight of the company's stations. Disney said in filings it was submitting the applications "under protest in response to an unlawful, arbitrary, and unconstitutional order" from the FCC. In late April, the FCC said it was launching an early review of the Disney-owned ABC stations years ahead of schedule following concerns around the company's diversity, equity and inclusion efforts. The licenses of the eight stations were originally up for renewal between 2028 and 2031. Last year the FCC, the federal entity that regulates the media and telecommunications industry, began an investigation into the DEI efforts of Disney and other media companies. The agency said it began investigating Disney last March for possible violations of the Communications Act of 1934 and the FCC's rules regarding its prohibition on unlawful discrimination. In April, the FCC said it had determined further action was needed. Disney had until Thursday to file the renewals. In a Friday interview on CNBC's "Squawk on the Street," FCC Chair Brendan Carr said the agency's focus remains on its investigations into Disney's DEI practices and that pulling up the license renewal deadline is not related to First Amendment matters. "I understand Disney wants to make this about a lot of other things, and their PR machine has been in high gear, but we've been very clear about what this is: concerns about invidious forms of DEI discrimination," Carr told CNBC. He added that the next step, as soon as Friday, will be for the FCC to issue a public notice and begin a cycle where the public can petition to deny the renewal of Disney's licenses, opening the door for Disney to file an opposition. "We have been signaling for a long time that we want Disney to take seriously our investigation, and it was only after we felt like — again, we provided them notice now that we thought their responses were disingenuous, that they were incomplete, that they were frankly nonresponsive to a number of questions — that we thought it was important to take this next step in our investigation to make sure that they're being fully responsive to our proceedings," Carr said. When asked if he thinks there is a possibility that the FCC may actually pull ABC's licenses, Carr said the agency will "follow the facts and the law wherever they go." The FCC's early review came shortly after ABC faced renewed political backlash from President Donald Trump following comments made by comedian Jimmy Kimmel during his late night TV show that airs on the broadcast network. The timing raised eyebrows from critics of the Trump administration — as well as from a sitting FCC commissioner — who said the scrutiny was politically motivated. In Thursday's filing, Disney said it objected to the process and added that the FCC hadn't called for an early renewal in more than five decades. "The order has no legitimate purpose," Disney said in the filing. "There is no information that the application will reveal that the Commission could not obtain through other means. The order is inconsistent with a legitimate exercise of investigative authority and is plainly incompatible with the First Amendment."