The next major plan was to reposition the channel to market it to college students, young women, or to a more hip audience under the name
XYZ, a reverse reference to ABC. Disney soon found that the channel could never be renamed as such.
The sale from CBN contained a stipulation from Robertson that the channel contain the word "Family" in the name forever, no matter who owns the network. To create XYZ, the Family Channel would have had to cease to exist - terminating all existing cable TV contracts - and XYZ would have to be created as a new network. Cable companies would not be obligated to put XYZ in the spot vacated by the Family Channel. ABC scrapped the idea after discovering this clause.
[2].
The name was revisited at one point, serving as a program block entitled "The XYZ".
Thats why the name family is in it, one of the agreements of the sale was to keep family in it