Disney Sells A+E Media Stake to Hearst for $1 Billion in Major Linear TV Exit

The Walt Disney Company is preparing to exit a massive piece of its traditional television business, agreeing to sell its 50% stake in A+E Global Media to its longtime joint venture partner Hearst. The all-cash transaction is valued at over $1 billion and gives Hearst full control of the cable programming giant.[1][6]

The deal, expected to be officially announced during Disney's quarterly earnings report on August 5, marks the end of a four-decade partnership between the two media conglomerates. A+E Global Media—formerly known as A+E Networks—operates a massive portfolio of cable channels, including A&E, the History Channel, Lifetime, FYI, and Vice TV.[3][4]

Beyond traditional linear networks, the A+E portfolio includes production entities like A+E Studios and A+E Factual Studios, which have produced hits for external streamers, including Netflix's "The Lincoln Lawyer." The company also operates roughly 60 free ad-supported streaming television channels and subscription platforms like History Vault and Lifetime Movie Club.[1][3]

The divestment represents the first major strategic sale under Disney's newly appointed CEO, Josh D'Amaro, who succeeded Bob Iger. While the sale process was initiated last summer under Iger's regime, D'Amaro has finalized the transaction as part of his "One Disney" strategy, focusing the company's resources on its core streaming and theatrical assets.[1][5]

Following the transaction's close, A+E Global Media President and Chairman Paul Buccieri is expected to remain at the helm. Buccieri, who has led the company for a decade, will now report directly to Hearst CEO Steven R. Swartz as the company transitions to single ownership.[1][3]

The $1 billion price tag is notably lower than the company's historical valuation. In its financial filings for the quarter ending in March 2026, Disney listed the carrying value of its A+E investment at approximately $2 billion, though it took a $147 million impairment charge tied to the asset during that same period.[6]

Disney's exit from A+E reflects a broader, industry-wide reckoning with the decline of traditional cable television. As cord-cutting accelerates and audiences migrate to on-demand platforms, legacy media giants are actively offloading linear networks that no longer fit their long-term growth models.[2][5]

The move mirrors recent actions by other entertainment conglomerates. Earlier this year, Comcast spun off a portfolio of its NBCUniversal cable networks—including USA Network, CNBC, and Syfy—into a new publicly traded entity called Versant Media, signaling a definitive retreat from the classic cable bundle.[2][3]

Despite shedding A+E, Disney is not entirely abandoning linear television. The company retains ownership of the ABC broadcast network, the Disney Channel, FX, and Freeform, though much of their programming is now designed to feed the Hulu and Disney+ streaming platforms.[1][5]

The transaction also leaves intact Disney and Hearst's other major joint venture: ESPN. Disney remains the majority owner of the sports broadcasting giant with a 72% stake, while Hearst retains 18% and the NFL holds the remaining 10%. Analysts suggest Hearst's full acquisition of A+E streamlines the corporate relationship between the two companies without disrupting their sports alliance.[4][5]

Media analysts view the sale as a necessary step for Disney to reduce its exposure to the shrinking linear television market. By converting a declining cable asset into a billion dollars of cash, Disney can reinvest in its highly profitable streaming segment and upcoming theatrical releases.[2][5]