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Jimmy Kimmel to go head-to-head vs. David Letterman, Jay Leno

This July 25 2012 phoreleased by ABC shows Jimmy Kimmel hosting his late night show 'Jimmy Kimmel Live' Hollywood sectiLos

This July 25, 2012 photo released by ABC shows Jimmy Kimmel hosting his late night show "Jimmy Kimmel Live," in the Hollywood section of Los Angeles. ABC says it's moving "Jimmy Kimmel Live" into the thick of the late-night fight against Jay Leno and David Letterman. Starting in January, Kimmel's talk show will take over the 11:35 p.m. time slot long held by the news magazine "Nightline," ABC said Tuesday, Aug. 21. (AP Photo/ABC, Richard Cartwright)

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Updated: August 21, 2012 1:52PM

Jimmy Kimmel has long sought the same late-evening slot as rivals Jay Leno and David Letterman, and now he’s getting his wish.

ABC on Tuesday announced plans to move “Jimmy Kimmel Live” to 10:35 p.m. Chicago time, bumping “Nightline” an hour later to 11:35 p.m., starting Jan. 8.

As a consolation prize, “Nightline” will resume a prime-time edition Fridays at 8 staring March 1, and will expand to 30 minutes nightly. (Kimmel has aired at 11 p.m. since February 2011, shortening “Nightline” by about five minutes and prompting the news magazine’s first prime-time run last summer.)

Kimmel’s show is celebrating its 10th anniversary next year, and the comedian’s profile has expanded of late: He hosted this year’s White House Correspondents Dinner to generally favorable reaction, and will host his first Emmy Awards telecast on ABC Sept. 23.

Even in the later time slot, his show has slowly climbed in the ratings, up 3 percent last season to its highest level in five years, while “The Tonight Show With Jay Leno” and “Late Show With David Letterman” both lost viewers.

“Given the passionate fan base ‘Jimmy Kimmel Live’ has built over the past decade, and the show’s ratings and creative momentum this season, the time is right to make this move,” said Anne Sweeney, president of Disney ABC Television Group, in a statement.

But she conceded the slot switch has as much to do with making money as making Kimmel happy, as “The Tonight Show” and “Late Show” are said to earn as much as $90 million a year each in ad revenue. “There is the potential for far greater upside over the long term with this shift, given increased advertiser demand for competitive entertainment programming in the time slot.”

The move is being delayed until January to allow “Nightline” to capitalize on the presidential election; cable sibling ESPN’s college football championship, culminating Jan. 7, will be used to promote the switch.

“Nightline,” which began in 1980 as a series of specials during the Iranian hostage crisis, has morphed from a hard-news single-topic broadcast, with Ted Koppel as its host until 2005, to a softer, multi-segment show that more closely resembles prime-time newsmagazines. It had faced cancellation at least once before, when ABC attempted to hire Letterman in 2002, winning a reprieve when he opted to stay at CBS.

But rumors of the slot switch or of “Nightline’s” demise have cropped up for years, each time Kimmel’s contract talks heated up. This time it worked, and his pact, due to expire in February, has been renegotiated and extended for two years. The show’s title, however, is something of a misnomer: Kimmel has not aired live since its first season.

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