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The company wanted to use The Family Channel to serve as a cable outlet for the library of children's programs it owned and broadcast as part of the Fox Broadcasting Company's Fox Kids lineup, then owned by a joint venture of News Corporation and television production company Saban Entertainment, so it could compete against established children's cable channels, such as Nickelodeon and Cartoon Network.News Corporation then entered into discussions to purchase a stake in the channel with IFE as a partner.Freeform is an American basic cable and satellite television channel that is owned by the Disney–ABC Television Group division of The Walt Disney Company.

The new owners sought to re-position the network towards younger viewers as a companion for their popular Fox Kids programming block.As a stipulation included as part of the spin-out from CBN to International Family Entertainment, The Family Channel was required to continue its daily airings of CBN's flagship program, The 700 Club.In 1997, after International Family Entertainment put The Family Channel up for sale, News Corporation made an offer to acquire the channel.Its programming is similar to that of FX and Sundance TV, which includes contemporary off-network syndicated reruns and original series, feature films, and made-for-TV original movies.Since the network was launched in April 1977, it has undergone various changes to its programming format and naming under its four different owners; the network was founded as the CBN Satellite Service, an extension of televangelist Pat Robertson's Christian Broadcasting Network.

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