A top Paramount executive has broken the company’s silence on the cancellation of The Late Show with Stephen Colbert, citing a steep decline in the late-night advertising market and significant financial losses as the primary drivers behind the decision.
Speaking at a press conference after Skydance’s takeover of Paramount became official, George Cheeks, Chair of TV Media, stated that the show’s economics were ultimately unsustainable.
“The challenge in late night is that the advertising marketplace is in significant secular decline,” Cheeks explained. “We are huge fans of Colbert, we love the show, unfortunately the economics made it a challenge for us to keep going.”
While he did not disclose a precise figure, Cheeks admitted the show’s losses were “significant” and in the “tens of millions of dollars” annually.
The network’s exit from the time slot was further solidified after Taylor Tomlinson departed as host of After Midnight, the successor to The Late Late Show with James Corden. According to Cheeks, this development made it clear that CBS “couldn’t stay in that daypart.”
He added that under the new Skydance ownership, which is expected to “invest cautiously and wisely,” his focus will be to “double down in primetime and sports.”
Cheeks also addressed the timing of the announcement, which followed Colbert’s on-air criticism of the company. He dismissed speculation that the decision was retaliatory, explaining instead that it was dictated by production and talent contract cycles.
“Every year seasonally, this is [when] we negotiate new deals for writers and producers,” Cheeks stated, noting that the show was also entering the final season of Colbert’s three-year contract. “It was incumbent upon me and us to make it clear to Stephen and his reps that this is where we were.”
When asked about a potential replacement for The Late Show at 11:30 p.m., Cheeks said it was “too early to speculate.” He specifically deflected a question about moving the syndicated program Comics Unleashed with Byron Allen, which currently occupies the former After Midnight slot, into the earlier time.
