A new report is shedding more light on exactly what happened when Paramount chose to cancel The Late Show with Stephen Colbert. It shows just how fractured the company's relationship with Stephen Colbert had become and why the late-night host needs to hit back.
According to journalist Lesley Goldberg's newsletter The Ankler, nearly three weeks passed from when Paramount decided to end The Late Show and when Colbert actually found out. The company informed Colbert's manager, James "Babydoll" Dixon, while the comedian was on vacation. Goldberg indicates Dixon chose to wait and deliver the news to Colbert in person on July 16.
So why didn't CBS speak directly to Colbert? Goldberg writes that it was customary for the network to share updates regarding The Late Show with Dixon rather than Colbert. Interestingly, Dixon also represents Jimmy Kimmel and Jon Stewart -- two late-night hosts whose futures have also been called into question thanks to network and real-world politics.
Colbert received the news after taping an episode of The Late Show that day. He immediately chose to share the news himself on the July 17 episode, kicking off a wave of support from other late-night TV personalities and protests from his fans.
And according to Goldberg's sources, Colbert's decision to announce the news forced Paramount's hand with Skydance. The reporter wrote Skydance, which recently completed its $8 billion merger with Paramount, was unaware of plans to cancel The Late Show. That bit of information pushes back against the narrative it was a political decision. Goldberg's sources indicate that, despite the optics, it was a financial decision to end The Late Show after it reportedly lost $40 million in 2024 against a $100 million production cost.
Goldberg's report also outlines the ways in which CBS chose not to save The Late Show. Despite Colbert making moves behind the scenes to reduce the budget, the network still laid off employees, chose not to reduce salaries, and declined suggestions regarding a Paramount+ move.
Paramount's handling of everything Late Show should be more than enough to convince Colbert to keep the gloves off over the next 10 months. His first show back took a few shots at Paramount and CBS, but the comedian has a lot more time to fill. Yes, he'll have to do the network's bidding and promote projects that benefit the company. But he also has nothing to lose in making Paramount, Skydance, and CBS into punching bags.