CBS is pushing back on claims that politics drove its decision to cancel The Late Show With Stephen Colbert, pointing instead to a steep financial loss tied to the long-running program.
In a statement released to Deadline, the network confirmed for the first time that The Late Show was losing about $40 million per year. That figure had circulated for months but had not been officially confirmed until now. CBS said the show’s high production costs and falling ad revenue made the model unsustainable.
The network has replaced the 11:30 p.m. slot with Comics Unleashed, hosted by Byron Allen. Unlike the previous format, Allen is paying CBS $15 million annually under a time-buy agreement. That means he leases the hour and sells his own advertising, taking on the financial risk while guaranteeing the network a fixed return.
CBS framed the shift as a clear business move. The company said it turned a $40 million annual loss into a $15 million gain, a $55 million swing that reflects broader changes in the late-night market.
Comics Unleashed debuted May 22, one night after Colbert’s final broadcast. The new show drew an average of 878,000 viewers across two half-hour segments, according to Nielsen data. That total falls far short of the 6.74 million viewers who tuned in for Colbert’s farewell episode. However, it compares more closely to the show’s regular season average of 2.14 million viewers.
Late-night television has faced a sharp decline in recent years, with ad revenue reportedly dropping about 65 percent over the past six years. CBS Studios produced The Late Show in-house, which meant the company absorbed the full cost as revenue continued to fall.
Critics have questioned the timing of the cancellation, noting that Colbert had been a frequent critic of President Donald Trump. The decision came as Skydance moves forward with its acquisition of Paramount Global, CBS’s parent company. Some argue the network could have explored cost-cutting options instead of ending the show entirely.
David Letterman, who launched The Late Show franchise, sharply criticized the move in an interview with The New York Times. He claimed the decision was tied to corporate interests surrounding the merger and accused executives of being dishonest about their motives.
Still, CBS appears focused on the bottom line as traditional late-night formats struggle to stay profitable. The shift to a time-buy model signals a broader change in how networks approach late-night programming, with financial stability taking priority over legacy formats and personalities.
Some viewers have welcomed the change, arguing that the previous format had grown stale and overly political. Others see the move as a sign that economic pressure is reshaping entertainment, where even established franchises are no longer immune to hard financial realities.
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English (US) · 