Disney Fee Dispute With DirecTV Goes Public During College Football Games
On-screen messages warn viewers of imminent blackout
As the expiration of their carriage agreement nears, The Walt Disney Co. and DirecTV are going public with their dispute.
During Saturday’s college football games, both sides aired dueling messages warnings that future games could be blacked out, with Disney telling viewers to contact DirecTV and DirecTV telling subscribers to contact Disney to avert the disruption.
The current agreement runs out September 1. (NOTE: The 5 p.m. ET deadline passed with the Disney networks still appearing on DirecTV. Apparently the two sides agreed to an extension while they continue to negotiate.)
Disney's message warned DirecTV and DirecTV Stream customers they could "lose the ESPN networks" and said they should go to KeepMyESPN.com to learn more.
DirecTV's urged viewers to go to its website TVPromise.com to get more information.
“We remain in active discussions to provide customers with more flexible packages and lower-priced alternatives in one simple experience," a DirecTV spokesperson said.
DirecTV has said it wants to be able to offer lower priced packages that include Disney's sports channels, such as ESPN, but not all of its entertainment channels.
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Disney agreed to let Venu, its sports joint venture with Fox and Warner Bros. Discovery stream that type of skinny bundle, but Venu has been prevented from launching by an injunction arising from an antitrust suit filed by Fubu, a sports-focused streaming service that is forced to pay for all of Disney's channels to get ESPN and other Disney sports programming.
Disney agreed to modify the way some of its channels are packaged in the agreement that ended last year's blackout with Charter Communications. Charter customers also got some Disney streaming services for free as part of their pay-TV subscriptions.
"We're working hard to get it done. We want to get it done. We want to deliver for sports fans," ESPN Chairman Jimmy Pitaro told Reuters.
"We do believe that we bring a lot of value. And hopefully DirecTV recognizes the value that we bring and we can continue to serve our fans through their platform," Pitaro added.
Jon has been business editor of Broadcasting+Cable since 2010. He focuses on revenue-generating activities, including advertising and distribution, as well as executive intrigue and merger and acquisition activity. Just about any story is fair game, if a dollar sign can make its way into the article. Before B+C, Jon covered the industry for TVWeek, Cable World, Electronic Media, Advertising Age and The New York Post. A native New Yorker, Jon is hiding in plain sight in the suburbs of Chicago.