Disney vs DirecTV: Millions Left Without ESPN, ABC as Distribution Deal Fails
Disney and DirecTV have failed to reach a new distribution deal, resulting in Disney-owned stations going dark on DirecTV, DirecTV Stream, and U-verse. This move has left nearly 11 million households without access to popular services like ESPN and ABC affiliates.
The breakdown in negotiations has been attributed to several key sticking points, including programming costs, the inclusion of Disney's streaming services, and channel flexibility. DirecTV CEO and AT&T CEO John Stankey accused Disney of demanding excessive fees and forcing customers to pay for unwanted channels and services. Meanwhile, Disney issued a statement blaming DirecTV for denying subscribers access to its content and refusing to offer flexible terms. The American Television Alliance has also criticized Disney's 'one-size-fits-all' bundling strategy and repeated blackouts.
The dispute comes at an inopportune time, occurring just before the highly anticipated USC vs. LSU primetime game and the upcoming presidential debate produced by ABC News. This is not the first time Disney and DirecTV have faced such a dispute, with similar blackouts occurring in the past. The increasing popularity of streaming services, which captured a record 41.4% share of TV viewing outside mobile in Nielsen's July snapshot, has added complexity to these negotiations.
The failure to reach a new distribution deal has left millions of households without access to popular Disney-owned stations. Both parties have accused each other of being responsible for the impasse, with key sticking points in the negotiations yet to be resolved. As the dispute continues, viewers eagerly await the resolution to regain access to their favorite content.
