CBS claims Stephen Colbert’s ‘Late Show’ lost $40M a year, denies politics behind cancellation: Source

NEW YORK, NEW YORK: CBS has officially ended ‘The Late Show with Stephen Colbert’, a move that sent shockwaves through the media and political spheres, but top executives insist the decision had nothing to do with the host’s sharp political commentary.

While political speculation has swirled around CBS’s decision to cancel its flagship late-night program, sources close to the network say the cancellation stemmed from mounting financial losses estimated at a staggering $40 million to $50 million annually.

Stephen Colbert's ‘The Late Show’ costs CBS over $40 million annually

The cancellation of ‘The Late Show with Stephen Colbert’ has ignited fierce debate in political and entertainment circles alike. But according to new reporting from Puck News’ Matt Belloni, the decision was driven more by mounting financial pressures. 

Belloni reported that 'The Late Show' had become a major financial strain for CBS, "losing more than $40 million a year" despite a hefty budget exceeding "$100 million per season." He highlighted that, in contrast, the network’s daytime and primetime shows have remained consistently "profitable."

“‘Late Show,’ with its topical humor and celebrity interviews pegged to specific projects, has struggled on Paramount+,” Belloni wrote. “And of the three network late-night shows, Late Show has by far the smallest digital footprint on YouTube and other platforms. So from a business perspective, the cancellation makes sense.”

Belloni said that sources within CBS and Skydance Media, the company set to acquire Paramount Global in an $8 billion deal, emphasized that the decision to cancel ‘The Late Show with Stephen Colbert’ was “based on economics, not politics.”

Belloni added, “Still, two other people with deep ties to CBS and Late Show suspect otherwise. After all, when a network decides that a show is too expensive, executives typically go to the key talent and ask them to take pay cuts, fire people, or otherwise slash costs. That didn’t happen here, though, with Colbert said to be making between $15 million and $20 million per year, a pay cut wouldn’t have solved the problem on its own.”

Stephen Colbert slammed CBS's Trump settlement just days before his show was canceled

Stephen Colbert, who has hosted the late-night staple since 2015, was reportedly informed of the show’s cancellation just days after he openly criticized CBS for its controversial $16 million settlement with President Donald Trump.

The settlement resolved a dispute over a ‘60 Minutes interview’ with former Vice President Kamala Harris, which Trump alleged was deceptively edited.

The timing of the cancellation prompted speculation that Colbert’s political jabs had finally gone too far, especially as CBS’s parent company, Paramount, is seeking regulatory approval from the Trump administration for its $8 billion merger with Skydance Media.

In his monologue, Colbert didn’t hold back, “I am offended, and I don’t know if anything will ever repair my trust in this company,” he said, sarcastically adding, “But just taking a stab at it, I’d say $16 million would help.”

While Colbert maintained the No 1 spot in his time slot, network executives say the show became financially untenable due to a severe lack of advertising dollars. A source familiar with CBS's internal discussions noted, “Colbert might be No 1, but who watches late night TV anymore?” 

The final call was reportedly made by Paramount co-CEO George Cheeks, who ultimately chose to pull the plug. “Skydance had nothing to do with this,” one insider close to the decision said. “Colbert loses $40 million to $50 million a year, so George Cheeks just decided to pull the plug.”

Adam Schiff, Elizabeth Warren and Jake Tapper raise red flags over timing and Trump ties

The announcement, which Colbert revealed live to his audience on Thursday, July 17, sparked a wave of scrutiny, with critics pointing to its timing and CBS’s entanglement in a pending merger that needs approval from the Trump administration.

Two senior Democratic senators, Adam Schiff and Elizabeth Warren, are demanding transparency from CBS and its parent company, Paramount Global. Schiff, who appeared on Colbert’s show just hours before the news broke.

“Just finished taping with Stephen Colbert who announced his show was cancelled. If Paramount and CBS ended The Late Show for political reasons, the public deserves to know. And deserves better,” Schiff posted on X.

Senator Warren highlighted those concerns, noting the decision came just three days after Colbert ridiculed CBS for settling a lawsuit with Donald Trump for $16 million.

“CBS canceled Colbert’s show just THREE DAYS after Colbert called out CBS parent company Paramount for its $16M settlement with Trump – a deal that looks like bribery,” she wrote. “America deserves to know if his show was canceled for political reasons.”

The announcement, delivered by Colbert at the top of Thursday night’s episode, took many by surprise, including the host himself. “Before we start the show, I want to let you know something I found out just last night,” Colbert told his audience. “Next year will be our last season. The network will be ending The Late Show in May.”

CNN anchor Jake Tapper became the latest to weigh in on Friday, July 18, accusing Paramount of trying to curry favor with President Trump as the company seeks regulatory approval for its $8 billion merger with Skydance Media.

“Paramount is in a bend-the-knee phase,” Tapper said on ‘The Lead’. “Paramount is attempting to please President Trump as Paramount’s Shari Redstone waits for the Trump administration’s blessing for a lucrative merger with a company called Skydance.”

Internet reacts to reports that Stephen Colbert’s ‘Late Show’ was losing CBS $40 million annually

Revelations that ‘The Late Show with Stephen Colbert’ was reportedly costing CBS around $40 million a year have triggered a firestorm of reactions online, with many users arguing that the show’s political slant was a key factor in its financial decline.

One user wrote, “Colbert’s politics alienated half of America which resulted in a much smaller audience which means less money, lower ratings etc. So to say politics wasn’t a factor isn’t quite true.”

Another commented in disbelief, “Top rated and they’re losing money?”

Many highlighted the idea that political content came at a financial cost, “Insane politics had everything to do with the $50 million losses, so yea, at the end of the day it was politics.”

Some pinned the blame squarely on Colbert’s stance toward Trump: “His hatred of Trump is 99.9% of the reason he’s canceled. We were only going to take so much of it, ‘Mr Colbert.’”

“THE tens of millions in financial losses annually — WERE FROM Stephen Colbert’s politics. THERE. I FIXED IT,” another added.

This article contains remarks made on the Internet by individual people and organizations. MEAWW cannot confirm them independently and does not support claims or opinions being made online.