ESPN and other channels return to DirecTV with a new Disney deal after a nearly 2-week blackout
AP Business Writer
DirecTV announced Saturday it had reached a deal with Walt Disney Co. that will restore ESPN and ABC-owned stations to its service after a nearly 2-week dispute that blacked out those networks for millions of viewers across the U.S.
The end of the impasse came in time for sports fans to watch ESPN’s slate of college football games on DirecTV. It also will ensure that ABC’s telecast of the Emmy Awards on Sunday night will be available in more major markets where viewers subscribe to DirecTV’s pay service.
ABC had been unavailable since Sept. 1 on DirecTV in several markets where the station is owned by Disney. Those were located in the San Francisco Bay Area; Fresno, California; New York; Chicago; Philadelphia; Houston; and Raleigh, North Carolina.
DirecTV’s 11 million subscribers abruptly lost access to ESPN, the ABC-owned stations and other Disney-owned channels such as FX and National Geographic during the Labor Day weekend in a dispute over carriage fees and programming flexibility.
Some viewers were watching the fourth round of the U.S. Open tennis tournament when ESPN suddenly went dark and others were getting ready to watch a college football showdown between LSU and Southern California.
The impasse also kept the NFL’s opening game of Monday Night Football off of DirecTV’s service.
Financial details of Disney’s new deal with DirecTV weren’t disclosed as part of Saturday’s announcement. DirecTV’s payments to Disney will be based on “market-based” pricing, according to the announcement about the deal.
The agreement also will give DirecTV the ability to offer Disney’s video streaming services a la carte as well as in its own bundled packages. DirecTV won the right to include ESPN’s forthcoming direct-to-consumer streaming service at an additional cost to its subscribers once it becomes available.
The deal came a few days after the rising tensions led DirecTV to file a complaint with the Federal Communications Commission accusing Disney of negotiating in bad faith.
This is the second consecutive year Disney’s wrangling over the rights to its programming has resulted in its networks gong dark on a pay-TV service. Last year, Disney pulled its channels from Spectrum — the second largest cable-TV provider in the U.S. — for 12 days before settling the dispute just before ESPN was set to show that season’s Monday Night Football opener.
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