Disney & DirecTV: What we've got here is failure to communicate

we just can't go a week without yet another Disney controversy ESPN and Disney go dark for millions of Direct TV customers amid contract dispute ESPN Disney ABC stations and streaming services including Hulu went dark for millions of Direct TV customers on Sunday with the network pulled by Network parent Walt Disney Company over a contract dispute the services were pulled on a busy night for sports events with the new college football season kicking off its first full weekend and ESPN airing the US Open tennis tournament fourth round matches were underway at the US Open when ESPN's broadcast went off the air on Direct TV at 7:20 p.m. eastern time angering many viewers who vented their displeasure on social media the blackout also happened 10 minutes before the start of the football game between number 13 Louisiana State University and number 23 University of Southern California Direct TV a provider of satellite TV internet and streaming services has 11.3 million customers making it the nation's thirdd largest paid TV provider what is the fight about it is the second straight year ESPN has gone off the air on TV during the US Open the dispute centers on the so-called Carriage fees that Direct TV pay pays Disney to broadcast its programming specifically Direct TV said in a statement that Disney is taking an anti-consumer approach by demanding that a new deal included bundle services for its part Direct TV wants to allow customers to be able to take an alicart approach to subscribing to specific networks making it easier to lower their costs such disputes have led to numerous blackouts in recent years media companies have repeated ly clashed with pay TV providers like Direct TV that distribute their content including over how consumers can subscribe to and purchase channels and streaming services Distributors are also frustrated with production companies putting some of their premium programming on direct to Consumer platforms before they show up on channels Direct TV cited the miniseries shun appearing on Hulu before effects Direct TV also said Disney offered an extension to keep the channels on the air in exchange for Direct TV having to wave all future legal claims that behavior is anti-competitive the Walt Disney Company is once again refusing any accountability to Consumers distribution partners and now the American judicial system said Rob Thun Direct TV's Chief content officer in a statement Thun added that Disney's demands will make it more difficult for consumers to select the shows and sports they want at a reasonable price in its own statement Disney said it had extended flexibility and terms of Direct TV that it has offered other Distributors we will not enter an agreement that undervalues our portfolio of television channels and programs the company said and it turns out Disney did release a statement on their website here's what you need to know about the dispute between Direct TV and the Walt Disney Company the start of September kicks off with an Eclectic mix of action from the much anticipated Return of the NFL college football and the best that tennis has to offer at the US Open not to mention the Emmy Awards and presidential debate on ABC later this month yet millions of Direct TV customers are left in the dark while ESPN and other Disney owned channels are blacked out due to Direct TV's decision to decline a fair Marketplace based agreement with the Walt Disney Company Direct TV chose deny millions of subscribers access to our content just as we head into the final week of the US Open and gear up for couch football and the opening of the NFL season said Dana Walden and Alan Bergman co-chairman Disney entertainment and Jimmy pataro chairman at ESPN while we're open to offering Direct TV flexibility and terms which we've extended to other Distributors we will not enter into an agreement that undervalues our portfolio of television channels and programs we invest significantly to deliver the number one brands in entertainment news and sports because that's what our viewers expect and deserve we urge Direct TV to do what's in the best interest of their customers and finalize a deal that would immediately restore our programming disputes between cable companies and content providers aren't new but they can lead to a lot of confusion to help cut through the noise here are some important points to consider the value of Disney's Port folio is indisputable more than 90% of the Direct TV households watch Disney linear programming every month last year that's more than 5 billion hours viewed in a single year Disney invests significantly in its content and is seeking rates that are fair in line with other providers in the marketplace and that reflect the value of Disney's popular and award-winning programming you mean like the acolyte Direct TV continues to push a narrative that they want to explore for more flexible skinnier bundles and that Disney refuses to engage this is blatantly false Disney has been negotiating with them in good faith for weeks and has proposed a variety of flexible options in addition to innovative ways to work together in making Disney's direct consumer streaming services available to Direct TV customers as recent years have shown the one constant in the entertainment world is change as television and the broader media ecosystem continue to evolve Disney is the clear industry leader in storytelling yeah okay sure and is establishing flexible distribution models that meet the evolving preferences and needs of our consumers oh well okay some bold statements feels like the big kids in the block are throwing stones at each other so where do you stand on this are you on team Direct TV or team Disney I don't know I kind of feel like we have two Goliath entertainment companies that are at a point that they're so huge that they don't really want to negotiate with anybody they're just going to stand the corner take their positions and hold their guns no matter what now I do think Disney could be losing some money on this not just Direct TV so I do think this is hurting both companies now the question is is this a game of chicken which one is going to turn first it's hard to tell they are definitely both throwing some shade at one another and you know what I'm just here with a big bucket of popcorn taking it all in but please let me know what you think down in the comments as always thanks for tuning in and I will see you again next time