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Disney has removed ABC, ESPN, and other channels from DirecTV due to an ongoing carriage dispute.
Disney has removed ABC, ESPN, and other channels from DirecTV due to an ongoing carriage dispute.
Updated
9:02 PM EDT, Sun September 1, 2024
On Sunday, Disney removed its ABC stations, ESPN, and other cable networks from DirecTV's lineup after the companies failed to reach a new distribution agreement. This move affects millions of sports fans as the college football and NFL seasons begin.
The termination of their agreement resulted in Disney-owned channels going dark for over 11 million DirecTV satellite subscribers, just as Sunday night’s USC vs. LSU kickoff approached, the US Open tennis tournament was underway, and the NFL season opener was imminent.
Rob Thun, DirecTV’s chief content officer, criticized Disney, stating, “The Walt Disney Co. is again avoiding responsibility to consumers, distribution partners, and the American judicial system. Disney prioritizes maximum profits and control over consumer interests, making it harder for people to access their preferred shows and sports at a fair price.”
In addition to ESPN and ABC affiliates, other Disney networks such as FX, National Geographic, and Freeform have also been pulled from DirecTV.
Disney Entertainment executives Dana Walden, Alan Bergman, and ESPN Chairman Jimmy Pitaro responded, “DirecTV chose to deny millions of subscribers access to our content during critical sports events. While we’re willing to negotiate terms, we won’t agree to a deal that undervalues our channels. We urge DirecTV to act in their customers' best interests and finalize a deal to restore our programming.”
As negotiations continued, Disney proposed a sports-focused package that included ESPN, ABC sports broadcasts, and other Disney channels, along with its direct-to-consumer services. However, DirecTV argued that Disney demanded the carrier waive all future legal claims of anti-competitive behavior.
The breakdown in talks highlights the ongoing struggle between satellite and cable providers seeking more flexible and affordable packages and programmers enforcing stringent bundling requirements. With media companies like Disney focusing more on their streaming services, traditional cable and satellite distribution is facing increasing challenges.
Thun criticized Disney’s approach, stating, “Consumer frustration is at an all-time high as Disney shifts its top content to its direct-to-consumer services while charging more for multiple platforms. Disney’s ‘magic’ seems to be in driving up prices while making its content disappear.”
The termination of their agreement resulted in Disney-owned channels going dark for over 11 million DirecTV satellite subscribers, just as Sunday night’s USC vs. LSU kickoff approached, the US Open tennis tournament was underway, and the NFL season opener was imminent.
Rob Thun, DirecTV’s chief content officer, criticized Disney, stating, “The Walt Disney Co. is again avoiding responsibility to consumers, distribution partners, and the American judicial system. Disney prioritizes maximum profits and control over consumer interests, making it harder for people to access their preferred shows and sports at a fair price.”
In addition to ESPN and ABC affiliates, other Disney networks such as FX, National Geographic, and Freeform have also been pulled from DirecTV.
Disney Entertainment executives Dana Walden, Alan Bergman, and ESPN Chairman Jimmy Pitaro responded, “DirecTV chose to deny millions of subscribers access to our content during critical sports events. While we’re willing to negotiate terms, we won’t agree to a deal that undervalues our channels. We urge DirecTV to act in their customers' best interests and finalize a deal to restore our programming.”
As negotiations continued, Disney proposed a sports-focused package that included ESPN, ABC sports broadcasts, and other Disney channels, along with its direct-to-consumer services. However, DirecTV argued that Disney demanded the carrier waive all future legal claims of anti-competitive behavior.
The breakdown in talks highlights the ongoing struggle between satellite and cable providers seeking more flexible and affordable packages and programmers enforcing stringent bundling requirements. With media companies like Disney focusing more on their streaming services, traditional cable and satellite distribution is facing increasing challenges.
Thun criticized Disney’s approach, stating, “Consumer frustration is at an all-time high as Disney shifts its top content to its direct-to-consumer services while charging more for multiple platforms. Disney’s ‘magic’ seems to be in driving up prices while making its content disappear.”
Last year, Disney and Charter renewed their distribution deal, preventing a last-minute blackout of "Monday Night Football" after Charter sought greater flexibility in its bundles and access to Disney’s streaming services. Despite a brief disruption over Labor Day weekend, Disney eventually struck an agreement that included access to Disney+ and ESPN+ for Charter subscribers.
As millions of consumers continue to abandon traditional cable in favor of streaming services—a trend accelerated by the rise of Netflix—legacy media companies are shifting their focus away from cable bundles. This shift has faced setbacks, such as a recent federal judge blocking the launch of a new sports-focused streaming venture from Disney, Warner Bros. Discovery, and Fox Corporation. The judge's decision followed a lawsuit from Fubo, a competing sports streaming service, which accused the media giants of attempting to monopolize the market with an anticompetitive bundle.
As millions of consumers continue to abandon traditional cable in favor of streaming services—a trend accelerated by the rise of Netflix—legacy media companies are shifting their focus away from cable bundles. This shift has faced setbacks, such as a recent federal judge blocking the launch of a new sports-focused streaming venture from Disney, Warner Bros. Discovery, and Fox Corporation. The judge's decision followed a lawsuit from Fubo, a competing sports streaming service, which accused the media giants of attempting to monopolize the market with an anticompetitive bundle.
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