The Federal Communications Commission (FCC) issued a warning on Thursday, March 27, indicating that ABC might lose its broadcast license due to an investigation into parent company Disney’s diversity, equity, and inclusion (DEI) policies. This inquiry aligns with the Trump administration’s broader initiative to dismantle such policies across both government entities and private companies.
FCC Chairman Brendan Carr stated on Fox News on Monday, March 31, that Disney’s DEI practices could breach federal regulations if they are determined to be discriminatory.
Additionally, Carr has sent notifications to Comcast and Verizon, informing them of probes into their diversity practices.
“If the evidence does in fact play out and shows that they were engaged in race- and gender-based discrimination, that’s a very serious issue at the FCC, that could fundamentally go to their character qualifications to even hold a license,” Carr said. “But we’re going to follow the facts wherever they go.”
The investigation into Disney and ABC was announced by Carr, who claimed the commission has evidence that the media giant may have violated equal employment opportunity regulations. This follows a similar investigation into Comcast, the parent company of NBCUniversal, over similar DEI concerns.
According to Carr, current evidence suggests that Disney and ABC may have made employment decisions based on race and gender, including the formation of race-specific affinity groups. Evidence also points to the implementation of demographic-based quotas.
Disney has acknowledged receipt of Carr’s letter and expressed willingness to cooperate with the commission’s inquiry.
“We are reviewing the Federal Communications Commission’s letter, and we look forward to engaging with the commission to answer its questions,” Disney told The Hill.
The FCC investigation specifically cites Disney’s “Reimagine Tomorrow” initiative, which Carr identified as a mechanism for advancing its DEI mission. He also referenced a 2020 ABC memo that purportedly mandated at least 50% of regular and recurring characters, actors, and writing staff to come from underrepresented groups.
In response to increasing scrutiny, Disney has made adjustments to its diversity programs. The company has recently revised its executive compensation policies, removing diversity and inclusion as a performance metric and replacing it with a new standard called “talent strategy.” Disney has also shortened warnings about racist stereotypes that previously appeared before certain classic movies.
The investigation into Disney is part of President Trump’s broader campaign against DEI initiatives. Since resuming office in January 2025, Trump has issued executive orders dismantling DEI policies in schools, federal agencies, and the private sector.
One executive order directed the Secretary of State to remove “Diversity, Equity, Inclusion, and Accessibility” as a core criterion for Foreign Service tenure and promotion. Another prohibited basing Foreign Service recruitment, hiring, promotion, or retention decisions on an individual’s race, color, religion, sex, or national origin.
The White House has described these actions as “restoring common sense to government” and returning to merit-based hiring. A statement from the White House indicates that the administration has eliminated “discriminatory DEI offices, employees, and practices across the federal government.”
However, the administration’s anti-DEI efforts have encountered legal challenges. In late March, a federal judge in Chicago, Illinois, temporarily blocked the U.S. Department of Labor from implementing parts of Trump’s executive orders in response to a lawsuit filed by Chicago Women in Trades, a non-profit organization that prepares women for work in skilled construction trades.
The judge ruled that the certification requirement in the executive orders is “so broad and vague that it threatens the core mission” of such organizations. The ruling also noted that the vagueness of the orders, coupled with the threat of financial penalties, would likely pressure organizations to curb DEI programs unnecessarily.
In a separate case, another federal judge largely blocked Trump’s executive orders ending government support for DEI programs, finding they likely carried constitutional violations, including infringements on free-speech rights.
Meanwhile, the U.S. Education Department has threatened to withhold federal Title I funding from schools that do not comply with its interpretation of civil rights laws, which it claims prohibits DEI programs that “advantage one’s race over another.” This has sparked concern among educators, particularly in rural and low-income communities that rely heavily on federal support.
The American Federation of Teachers has filed a lawsuit to block the department’s guidelines, arguing that the administration is “wielding a cudgel of billions in federal aid” to force schools to conform to its political ideology.
DEI programs are designed to promote workplace representation and participation of different genders, races, ethnicities, religions, ages, sexual orientations, disabilities, and classes. Advocacy groups maintain that such initiatives are not quotas but strategies to equalize opportunities for disadvantaged groups.
Critics of the Trump administration’s anti-DEI campaign argue that dismantling these efforts could deepen existing inequities in employment, education, and healthcare. Supporters, however, view the moves as necessary steps to eliminate what they perceive as discriminatory practices.
As the FCC continues its investigation into Disney and ABC, the broader battle over DEI policies in American institutions is likely to intensify, with significant implications for media companies, federal contractors, educational institutions, and the private sector.