AT&T is not out of business with One America News Network (OAN), the controversial right-wing cable network recently dropped by its DirecTV pay-TV spinoff.
According to Reuters, AT&T signed a deal in 2019 to sell advertising for OAN on a commission basis, an agreement that remains alive and well today.
Also read: DirecTV Drops One America News
AT&T agreed in December to sell its advanced advertising unit, Xandr, to Microsoft. But it's reportedly keeping a portion of the subsidiary that sells ads for regional sports networks, Verizon Fios TV ... and One America News Network.
Verizon Fios TV represents OAN's largest remaining pay TV distribution source. DirecTV, which is now 70% owned by AT&T, represents OAN's biggest source of distribution, but it will drop the channel in April upon the end of its carriage agreement.
The news about the ad sales arrangement, according to Reuters, came to light in a recent lawsuit filed against DirecTV and AT&T by OAN founder Robert Herring Sr., who is suing the telecom for $1 billion in damages, a suit related to DirecTV's decision to cut off OAN's main source of distribution back in January.
Also read: OAN Will Have Less Than 5 Million Remaining Pay TV Subscribers Following DirecTV Ouster
In a statement provided to Reuters, AT&T didn't address the specific allegations about selling commercial time. But it did take on the broader issue of OAN's lawsuit, which claims the decision to drop the cable channel stemmed from the political bias of AT&T and DirecTV executives.
"These allegations are completely without merit," said AT&T, which reportedly donated close to $2 million to former President Donald Trump's inaugural committee, making it one of the bigger backers.
Last year, Reuters ran a report detailing AT&T's foundational role in getting OAN off the ground nearly a decade ago.
Carriage of the channel has become somewhat of a political hot potato, given OAN's aggressive backing of Trump's "Big Lie," the false notion that the 2020 Presidential election, which he lost decisively, was rigged.
