Answering Your Disney Succession Questions

This isn’t a television series.

The Walt Disney Company is facing a very real crisis right now as it tries to navigate the treacherous waters of CEO succession.

During Disney’s most recent two attempts at succession, everyone in Mouse Ears turned on Michael Eisner.

Then, Bob Iger inexplicably passed on competent executives like Thomas O. Staggs and Kevin Mayer to select Bob Chapek.

To Disney’s credit, it did hire Iger as CEO. Twice. But the overall track record here is scattershot.

I know that you’re wondering what is happening, and the reality is that it’s semi-organized chaos behind the scenes.

So, let’s answer some of your questions regarding Disney’s succession plans.

Is Disney Definitely Not Picking until 2026?

No. Disney is saying it’s not picking Bob Iger’s successor until 2026.

Friends, I’m going to let you in on a shocking truth about gigantic corporations. Sometimes, they lie.

If that’s a shock to you, I’ve got some terrible news about Santa Claus and the Tooth Fairy.

During 2024, Disney has suffered a few leaks and also some snafus.

For instance, Iger’s confidante, Kevin Mayer, stated something that the media interpreted as a decision coming soon.

Also, while I chose not to report on some recent Disney succession rumors over the past month, the story has been hot.

Some folks believed that Dana Walden would win the job before the end of 2024.

More recently, a more credible rumor indicated that D’Amaro had surpassed Walden and was about to be named Disney’s next CEO.

I skipped that because, well, I wrote something similar about Kevin Mayer in December 2019. In February 2020, Disney chose Chapek.

So, I spit the bit there, albeit with the asterisk that COVID-19 might have had something to do with the outcome.

Still, I’m wary about rumors indicating the prohibitive favorite at Disney has fallen behind in the race.

For that matter, the last three times Disney named a successor, it was the expected candidate.

We had Iger replacing Michael Eisner, Chapek following Iger, and then the drama with Iger’s return.

In the early 2000s, everyone expected Iger to run Disney. After Thomas Staggs left Disney in 2016, Chapek became the likely successor.

Then, when everyone was calling for Chapek’s head, fans desperately hoped that Iger would return.

All those things happened. The reality is that the favorite typically wins, which is why it’s a big deal when the underdog pulls the upset.

Is Dana Walden Still the Leader in the Clubhouse?

My answer is yes or maybe. You just read why.

Since Iger returned, insiders have favored two candidates over the rest.

Josh D’Amaro has run Disney Experiences perfectly during his tenure, at least from an investor perspective.

Even when Disney made theme park announcements fans disliked, D’Amaro remained extraordinarily popular. People just like the guy.

Still, Dana Walden’s relationship with Iger as well as their similar career trajectories have made her the favorite.

In 2024, Walden’s professional career has taken on a fairytale quality, with everything she touches turning to gold.

Other candidates, such as ESPN Chairman Jimmy Pitaro and Disney Entertainment Co-Chairman Alan Bergman, have had exceptional years, too.

In truth, even Disney haters would grudgingly admit how well the company has performed in 2024.

Disney released two different movies that earned more than Barbie, won 60 Emmys, and watched seemingly every live sport break viewer records.

Meanwhile, the parks have consistently earned so much revenue that Disney is struggling to top its own track record.

Iger promised that he would right the ship, and he has. So, every candidate we’re discussing here is worthy of being a Fortune 500 CEO.

Only one of them can be the favorite, though. Currently, I view that candidate as Walden, but that Josh D’Amaro rumor had teeth.

Also, we shouldn’t lose sight of a vital change here. With James Gorman becoming Disney’s Chairman of the Board, a banker is running the show.

While I’m confident that Iger and Gorman will communicate regularly, the former (and technically current) head of Morgan Stanley may prioritize finances.

Some outside candidate could suddenly storm into the conversation.

For now, I perhaps stubbornly perceive Walden as the leader in the clubhouse.

Could Bob Iger Stay?

Yes. Good lord, yes. Absolutely yes.

My first thought when hearing the story for the first time was that the cat had more than nine lives.

Killing Iger is the equivalent of an hour-long raid boss fight. That dude is invulnerable, and your squad is in for a struggle.

From a certain perspective, everything that’s happened here has played into Iger’s favor.

Here’s a harsh truth: the longer Disney delays its decision, the more the odds increase of him extending again.

Right now, I still believe there’s about a 75 percent chance that he leaves at the end of 2026 and possibly even sooner.

The executive clearly believes that he has righted the ship at Disney. So, his presence is no longer as necessary.

However, Iger may also feel that the current succession candidates would Bob Chapek-up the place, ruining his hard work again.

In short, I don’t think Iger is staying this time. But the reveal that he extended his contract would surprise literally no one on the face of the planet.

Who Will Really Decide Disney’s Next CEO?

What you’re really asking is whether this changes anything.

Mark Parker, an accomplished Nike executive, has mirrored Bob Iger throughout his career. The two became friends over the years.

When Disney sought new members of its Board of Directors, Iger persuaded Parker to join in 2016.

Parker has been with Disney for a while now, eventually replacing Susan Arnold as the Chairman of the Board.

This week’s events indicate that Parker will leave Disney at the end of 2024 to focus more on Nike.

Meanwhile, revered Morgan Stanley executive James Gorman joined Disney in November 2023.

At the start of 2025, Gorman will become Chairman of the Board, which makes sense, given that he’s leading Disney’s succession planning committee.

Parker shouldn’t be in charge of that if he’s not staying with Disney long-term.

Meanwhile, Gorman has taken the extraordinary step of announcing his departure from Morgan Stanley to focus entirely on Disney.

While I understand why many cynics would perceive Iger as ultimately determining his successor, I’m skeptical that’s true.

Iger already botched succession once, and it was a boondoggle on the level of that Mark Sanchez Butt Fumble.

So, many people at Disney and investors outside the company would feel better if succession were left in the hands of an expert.

That’s Gorman, whose resume is, if anything, more impressive than Iger’s.

While I’m confident the duo will work closely together to settle on the ideal choice, this process shouldn’t play out like the last one.

Disney specifically chose Gorman for his proven succession planning skills. It’s an epic mistake if Iger winds up choosing instead.

Why Did Mark Parker Leave? Was He Unhappy at Disney?

Here’s the part of the story that’s being underreported and possibly even misreported.

Some articles have implied that Disney just pushed Parker out the door.

Should that statement prove true, I’m confident some journalist will get the scoop in a few months.

However, I don’t believe that’s the case at all. Disney explicitly placed Gorman in charge of succession in August.

That’s not something the company would do behind Parker’s back. He’s a friend of Iger and other members of the Board.

Also, Parker RUNS the Board. So, nothing could happen without his approval. Technically, he’s in charge at Disney right now.

Instead, what we’re witnessing here is much more about the state of Nike.

In July, Nike took the unusual step of suing someone nicknamed The Shoe Surgeon.

This person had worked with Nike to create specialty shoes on many occasions.

The stock was already in trouble at this point, and the negative PR from that lawsuit ultimately led to CEO John Donahoe stepping down.

Donahoe’s last day was on October 13^th, while a former Nike executive named Elliott Hill returned to succeed Donahoe.

This move was wildly popular when announced, and the Executive Chairman who made the call was…Mark Parker.

Simply stated, Parker had to choose between fixing Nike and helping Disney with succession.

Understandably, Parker chose his roots, knowing that Disney was in good shape for the first time in a while.

So, I don’t think anything acrimonious occurred here. In fact, Parker did right by Disney by staying until the end of 2024.

As we saw with Bob Chapek, Christine McCarthy, and Peter Rice, the malcontents get thrown aside immediately.

Will the Losers Leave the Company?

I strongly suspect that’s the endgame to all of this.

Gorman accomplished the impossible at Morgan Stanley. He crafted a strategy to keep the company’s top three executives.

Eighteen months later, all of them remain at the company, a borderline unprecedented event in 21^st century corporate America.

Disney definitely wants to keep Bergman, D’Amaro, Pitaro, and Walden if at all possible.

So, Gorman will spend the early part of his tenure identifying who the best CEO candidate is.

Then, he’ll determine whether he could title-promote some of the others to keep them happy enough at Disney.

Morgan Stanley accomplished this goal by creating Co-President roles in addition to CEO.

Since Disney already has given its top four executives the Chairman title, the only other options are Chief Operating Officer, Chief Creative Officer, and the like.

Is that enough to placate the losers? That’s difficult to say. Let’s remember that Mayer and Staggs both left Disney once they lost the CEO gig.

My guess would be that Pitaro stays since he knows ESPN may become a standalone company anyway.

Bergman must know that he’s a rung lower than D’Amaro and Walden, and he’s got a great gig running Disney. I think he’d stay, too.

With Walden and D’Amaro, a lot would depend on their personal relationship.

Nobody outside the company is in a position to describe that with certainty.

What I’ll say is that I think it’d be hard to keep both, especially if Walden loses. She’s 60 and probably would evaluate other studio boss gigs.

At 53 and a devout Disney loyalist, D’Amaro may be willing to bide his time a bit longer.

Thanks for visiting MickeyBlog.com! Want to go to Disney? For a FREE quote on your next Disney vacation, please fill out the form below, and one of the agents from MickeyTravels, a Diamond Level Authorized Disney Vacation Planner, will be in touch soon!