After purchasing the Family Channel from Pat Robertson and company, Fox attempted to turn the channel into a powerful (non-religious) entertainment franchise, even getting sizable investment capital from Saban Entertainment, which produced such Fox hits as Mighty Morphin Power Rangers. Fox's rights to Major League Baseball led to a weekly game being broadcast (in addition to their Game of the Week on Fox, Fox Sports Net, and fX). Plenty of family-friendly original programming, including one show starring former NBA player John Salley, was commissioned. However, the channel failed to find an audience for young children against the juggernauts of Nickelodeon (Viacom), Cartoon Network (AOL Time Warner), the Kids WB lineup, and even the daily Fox Kids lineup on broadcast TV stations. As for the limited market of family programming, Fox Family competed with Pax TV (owned by NBC) and a few small-market networks.

After Fox failed to turn the Family Channel into a successful branded franchise, it sold the whole thing to Disney in 2001 for over $3 billion. Once the transition is complete, the channel will once again change its name to ABC Family Channel.