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Top U.S. Company Comes Crawling Back To Trump

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Trump wins again.

In a surprising turn of events, Donald Trump secured a significant victory in his ongoing battle with the corporate giant, Disney. On December 14, ABC News, a subsidiary of Disney, agreed to settle a defamation lawsuit brought by Trump, paying a hefty $15 million and issuing a public apology. The settlement marked a stunning defeat for the media outlet, which had been embroiled in a legal dispute following inaccurate statements made by ABC anchor George Stephanopoulos earlier in the year.

The controversy began during a March 10 broadcast of This Week, when Stephanopoulos, in an interview with Republican Representative Nancy Mace of South Carolina, falsely claimed that Trump had been “found liable for rape.” This statement was not only false but also misleading. While Trump was indeed found liable for sexually abusing E. Jean Carroll in 2023, the verdict did not support the specific claim of rape under New York law. Trump was ordered to pay $5 million in damages to Carroll, but the “rape” accusation was not substantiated.

The defamation lawsuit filed by Trump targeted Stephanopoulos for making this damaging, unfounded claim. Although the case seemed weak on its surface, the settlement, which includes a substantial donation to Trump’s future presidential library, speaks volumes about the media landscape’s current dynamics.

Why Did ABC Settle?

ABC News’ decision to settle—despite the apparent strength of their legal position—has sparked widespread debate. Many observers, including legal experts, argue that ABC’s move was not just about avoiding the embarrassment of a drawn-out legal battle with a political figure who is poised to reclaim the presidency in 2025. Rather, it seems to reflect a strategic shift in how major media companies are preparing for Trump’s return to power.

Nicholas Creel, a law professor at Georgia College, suggested that the settlement was a calculated move to avoid further complications with a figure who has a history of using media battles to his advantage. “ABC is making a peace offering,” Creel explained. “They’re trying to get ahead of the potential backlash and legal challenges Trump could bring against them once he’s back in the White House.”

Furthermore, ABC News faces the long-term risk of regulatory scrutiny. With Trump’s influence over the Federal Communications Commission (FCC), Disney’s broadcast licenses could come under threat. The eight “owned and operated” stations under ABC’s umbrella are worth billions of dollars and could be jeopardized if Trump decides to retaliate through regulatory channels.

A Broader Media Reckoning

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This settlement isn’t just a win for Trump in his personal feud with a media giant—it’s a message to the broader media ecosystem. For years, Trump has been vocal about his disdain for what he calls “fake news,” and his administration had already taken steps to counter media outlets that he felt were hostile to his agenda. With this legal victory, Trump sends a clear signal that he will continue to hold media companies accountable for spreading misinformation or defaming public figures, especially as he gears up for another run at the presidency.

For conservatives, this case is another example of Trump standing up to a left-leaning media establishment that has often been dismissive of his agenda and his supporters. In recent years, Disney has become a focal point of cultural battles, particularly with its increasing focus on progressive issues like LGBTQ+ representation. In 2023, Disney was at odds with Florida Governor Ron DeSantis over his “Parental Rights in Education” law, which critics labeled the “Don’t Say Gay” bill. DeSantis retaliated by targeting Disney’s special tax privileges in the state, an unprecedented move that further soured the company’s reputation among conservative voters.

Disney’s Changing Strategy

In recent months, Disney has been forced to reckon with its position in the culture wars. Facing backlash from conservative audiences, Disney has made moves to soften its progressive messaging, such as pulling a transgender storyline from an upcoming Pixar series aimed at younger viewers. This decision reflects the growing pushback against the company’s commitment to diversity, equity, and inclusion, which many conservatives see as a form of cultural overreach.

Additionally, Disney CEO Bob Iger, once a reliable Democratic donor, has refrained from making political contributions during this election cycle, signaling a shift in the company’s approach to political involvement. Disney has also returned to advertising on X (formerly Twitter), after a year-long hiatus. These changes suggest that Disney, under pressure from conservative audiences and political figures, may be recalibrating its strategy to navigate the turbulent political waters in the lead-up to 2025.

What’s Next for Trump and the Media?

As Trump’s legal battles continue, it’s clear that he is committed to using the courts as a tool to challenge the media. In recent months, Trump has filed lawsuits against various media outlets, including CBS News, accusing them of misrepresentation. He has also spoken openly about his plans to “straighten out the press” once he returns to office.

For Disney and other media conglomerates, the settlement with ABC News is a reminder of the power that Trump holds over the political and media landscape. As a figure who thrives on challenging the status quo, Trump is poised to keep the media on edge for the next four years. Whether other outlets will follow ABC’s lead and settle to avoid further conflict with a potential Trump presidency remains to be seen. However, it’s clear that Trump’s influence on the media and the cultural battles he has ignited will continue to shape the political narrative in America.

In the world of media, as in politics, power dynamics are shifting. Trump’s victory against ABC News is a testament to his ability to confront powerful corporations and reshape the media landscape on his terms—something that will likely play out in even more dramatic ways as his political career unfolds.