Federal regulators on Tuesday ordered a review of all ABC station licenses, a move unprecedented for a major network. The FCC cited the network’s diversity and inclusion policies as the trigger, but the timing aligns with President Trump’s recent clash with late‑night host Jimmy Kimmel, who the president has demanded ABC fire.

ABC owns eight of more than 200 local stations, including key markets in New York, Los Angeles and Philadelphia. Under normal FCC rules, the network would not need to renew any of those licenses until 2028, but a rarely used provision now forces them to apply, opening the door to an early refusal.

Chairman Brendan Carr has repeatedly threatened to strip broadcasters of valuable licenses, and the review marks the first concrete step toward that goal. Legal experts warn that the FCC would need a compelling record of rule violations to justify revocation, and ABC could contest any decision in court, preserving its broadcast presence while the dispute unfolds.

With the review underway, investors face uncertainty over ABC’s market positioning and potential legal costs. The action also signals to other networks that regulatory scrutiny could intensify amid political tensions. Until the FCC delivers a decision, ABC’s eight stations will continue to broadcast, but the outcome could reshape the industry’s licensing norms.