Tapper Defamation Case Reveals CNN’s Revenue Has Cratered Along With Viewership

Shortly after a Florida jury decided that CNN had defamed Navy veteran Zachary Young and awarded him $5 million in damages on Friday, the network faced further challenges when evidence of its revenue losses was presented in court.
The jury reached its conclusion early Friday afternoon in favor of Young, following a case centered on a November 2021 report by Alex Marquardt. This report, which aired during segments hosted by Jake Tapper and Jim Acosta, was found to have defamed Young.
With the verdict in place, the trial progressed into a second phase focused on determining the punitive damages CNN owes to Young.
During this phase, forensic economist Robert W. Johnson was called as an expert witness for the plaintiff. Johnson reviewed CNN’s financial records and testified that the network’s revenue declined significantly over three years, from $2.2 billion in 2021 to $2.0 billion in 2022 and $1.8 billion in 2023—an 18% drop amounting to $400 million.
Despite these revenue losses, CNN still reported substantial profits, including $600 million in 2021, $300 million in 2022, and $400 million in 2023. The network’s cash flow profit for 2023 was noted to be $424.9 million.
Currently going over various financial terms for jurors to understand as Phase II into CNN's finances proceeds.
— Joseph A. Wulfsohn (@JosephWulfsohn) January 17, 2025
However, CNN’s profitability may face additional pressure as its audience continues to decline. The network has seen significant viewership losses in recent years, with even sharper declines following Donald Trump’s election victory in November.
According to a recent report by Adweek, “CNN averaged 501,000 total viewers and 110,000 A25-54 viewers during primetime, marking respective declines of -3% and -13% compared to the previous week. During total day, the network reached 455,000 total viewers and 80,000 A25-54 viewers, reflecting a mixed performance: +15% growth in the former category, but a -1% drop in the latter.”
In contrast, Fox News continues to dominate its competitors. During a ratings period that included significant events such as the death of former President Jimmy Carter and widespread California wildfires, CNN struggled to compete.
Nielsen live plus same-day data for the week of January 6 revealed that Fox News Channel (FNC) led cable news, averaging 2.546 million total primetime viewers and 303,000 viewers in the key 25-54 demographic. These numbers represented significant week-over-week gains, with total viewers rising +47% and the demographic increasing by +53%.
For total day ratings, Fox News maintained its lead with an average of 1.797 million viewers and 227,000 in the 25-54 demo, marking increases of +34% and +33%, respectively.
Among basic cable networks, Fox News ranked second in total primetime viewers and climbed to second place among adults 25-54. In total day metrics, it reclaimed the top spot in total viewers and secured second place in the 25-54 demographic.
During the same period, MSNBC also experienced growth. The network’s primetime programming drew an average of 721,000 total viewers and 55,000 in the 25-54 demographic, reflecting gains of +62% and +45%, respectively.
In total day viewership, MSNBC averaged 540,000 viewers and 41,000 in the demo, increasing by +38% and +11% from the previous week. This performance elevated MSNBC’s rankings, moving from eighth to third place in total primetime viewers and advancing from No. 37 to No. 31 in the 25-54 demographic.
Looking at year-over-year ratings, the trends were stark. Adweek reported:
- During primetime, Fox News saw a +27% increase in total viewers and a +40% gain in the A25-54 demo. In total day ratings, the network grew by +43% in total viewers and +51% in the demo.
- MSNBC faced declines of -39% in total viewers and -51% in the demo during primetime. Total day ratings for the network also fell by -35% in total viewers and -49% in the demo.
- CNN experienced a -31% drop in total viewers and a -23% decline in the demo during primetime. Total day ratings for CNN showed a -11% decrease in total viewers and a -14% decline in the demo.