More than 11 million of DirecTV's subscribers lost access to Disney-owned networks that include ABC, ESPN, and a lot more, after the satellite TV provider and Walt Disney failed to reach a new distribution agreement.
When the prior deal expired Sunday, the programming automatically blacked out, just days ahead of the much-awaited start of the National Football League season, which is set to open Thursday, Reuters reported. Another event that millions are looking forward to witnessing live is the presidential debate between former President Donald Trump and Vice President Kamala Harris on Sept. 10
"The Walt Disney Co. is once again refusing any accountability to consumers, distribution partners, and now the American judicial system," Rob Thun, the chief content officer at DirecTV, said in a statement cited by CNN.
"Disney is in the business of creating alternate realities, but this is the real world where we believe you earn your way and must answer for your own actions. They want to continue to chase maximum profits and dominant control at the expense of consumers - making it harder for them to select the shows and sports they want at a reasonable price," he added.
On the other hand, Dana Walden and Alan Bergman, the chiefs of Disney Entertainment, along with Jimmy Pitaro, the ESPN Chairman, issued a joint statement on the matter, saying that it was DirecTV that opted to deny subscribers access to the company's content "just as we head into the final week of the US Open and gear up for college football and the opening of the NFL season."
The statement also hinted at DirecTV allegedly undervaluing Disney's portfolio.
"While we're open to offering DirecTV 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 urge DirecTV to do what's in the best interest of their customers and finalize a deal that would immediately restore our programming," the statement noted.
According to Thun, Disney wanted to "continue to chase maximum profits and dominant control at the expense of consumers – making it harder for them to select the shows and sports they want at a reasonable price."
According to a source familiar with the negotiations, DirecTV sought discounts and reduced distribution thresholds, but Disney did not agree to the demands, as reported by Reuters.
