In the delicate dance of TV carriage agreements, the spotlight once again falls on The Walt Disney Company and DirecTV. The two entertainment giants are amidst high-stakes renewal negotiations, which could potentially impact viewers nationwide. The current deal, inked in 2019, is about to expire, and there’s chatter of blackouts affecting popular channels like ABC and ESPN as soon as September 1.
This renewed negotiation period follows a contentious past, notably when Disney issued on-screen notifications that hinted at potential channel losses during sports broadcasts. The concerns now are multifaceted, especially given the halted Venu Sports joint streaming venture involving ESPN/Disney, TNT Sports/Warner Bros. Discovery, and Fox. A judge recently blocked this venture due to antitrust concerns raised by Fubo, impacting the trajectory for future sports-centric streaming services. DirecTV, while less vocal than Fubo, shares the industry-wide concern over these domineering joint ventures.
DirecTV’s stance, articulated through Chief Content Officer Rob Thun, emphasizes a consumer-centric approach. Thun advocates for the flexibility to offer genre-specific skinny bundles, including sports, news, entertainment, and more. This vision aligns with a “brighter TV future,” featuring cheaper packages and a more streamlined content aggregation. However, traditional bundling practices, which Disney and other major networks employ to maximize leverage, complicate this vision.
Disney, historically firm on bundling, showed some adaptability last year during a similar clash with Charter Communications. They provided Charter with flexible package options and even offered Disney+ as part of the deal. Yet, it’s unclear if Disney will accommodate DirecTV’s latest proposal meaningfully.
The stakes are high, with the potential for blackouts just as college football and NFL seasons gear up. The future of MVPD bundles, sports programming, and the very structure of pay TV might pivot based on how Disney and DirecTV navigate these turbulent waters.
What are your thoughts on this evolving saga? Share your insights in the comments below and join the conversation!
Source: Awful Announcing
