Bob Iger says Disney lost sight of its role to entertain rather than push messaging

NEW YORK – Walt Disney Company CEO Bob Iger said the company has lost sight of their role in the entertainment industry at the New York Times DealBook Summit this week.

According to CNBC reporter Alex Sherman, Iger said at the forum that Disney must primarily entertain, and that their role is not just to push messaging.

“He says it got worse when he left as CEO/Chairman,” Sherman reported.

“For the first time, he’s talking about how they need to focus on delighting audiences, and the storytelling, rather than what he calls ‘the messaging’ in the movies,” said Matt Belloni, a founding partner of Puck News.

“The wokeness is an issue,” he said. “That’s what Iger is saying. He’s saying that the messaging in the movies is a problem for them.”

“He’s acknowledging all the noise out there, about how audiences – they don’t like some of the moves Disney has made with their casting choices, and with their characters and messaging in the movies,” Belloni said. “He wants them to pull back on that and focus on the storytelling.”

For example, Disney casted Halle Bailey to play as Ariel in a live-action remake of The Little Mermaid, an instance of the main character’s physical features not resembling the original story, which was a move that caused backlash among some viewers over focusing on race rather than accuracy.

Iger’s comments this week come shortly after the company warned in a recent SEC filing that there are present “risks” to their brand and reputation over the company continuing to pursue environmental and “social goals.”

“Generally, our revenues and profitability are adversely impacted when our entertainment offerings and products, as well as our methods to make our offerings and products available to consumers, do not achieve sufficient consumer acceptance,” the company said. “Consumer tastes and preferences impact, among other items, revenue from [a variety of sources].”

Iger also recently said the company wants to “quiet the noise” in the cultural war.

Polling has also found an adverse relationship from consumers based on political affiliation against Disney.

Disney had gained exposure on political issues in 2022 when they opposed Florida’s Parental Rights in Education bill, which restricted gender identity and sexual orientation teachings in grades K-3. Those restrictions have since been expanded to all grades with some exceptions.

Gov. Ron DeSantis was at the forefront of battling Disney, a topic he’s touted throughout his 2024 primary campaign.

The governor and his appointed board overseeing the Walt Disney World area have also been embattled in a legal dispute over the district’s authority.

Despite the worries and the feud with Florida, the company has nonetheless said it will invest billions in its Florida attractions.

Recently, DeSantis said he has “moved on” from the Disney feud. He’s maintained that he has won against the company.

“Apart from Florida, Disney has had a lot of problems and I think that the skirmish they got in with these young kids [K-3 Parental Rights bill] – I think that’s a symptom of why they’re not doing as well,” the governor said to CNBC. “Parents have lost some confidence.”

“But, where we are today – you know – we basically moved on,” he said. “They’re suing the state of Florida, they’re going to lose that lawsuit. So what I would say is, drop the lawsuit.”

Disney is seeking to cut additional costs after a slight rebound in the fourth quarter for revenue.

After becoming the company’s CEO in 2022, Iger said he planned to “quiet things down” with regard to the battle with DeSantis and Florida.