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DirecTV Drops Disney Channel, ESPN, ABC, and More Amid Contract Dispute

Disney has revoked DirecTV’s access to ABC, ESPN, and other Disney-owned networks after failing to reach a new distribution deal. This decision leaves over 11 million subscribers without access as Disney and DirecTV continue negotiations. Such conflicts are not uncommon; The CW and AMC have had similar disagreements with DirecTV in the past. The rise of streaming platforms has made these disputes more frequent, as content providers like Disney become less dependent on third-party distributors.

CNN, the first to report the story, received comments from both parties. “The Walt Disney Co. is again refusing any accountability to consumers, distribution partners, and now the American judicial system,” said Rob Thun, chief content officer at DirecTV. “Disney creates alternate realities, but this is the real world. They want maximum profits and dominant control at the expense of consumers, making it harder to select shows and sports at a reasonable price.”

“DirecTV chose to deny millions of subscribers access to our content just as we head into the final week of the US Open and gear up for college football and the NFL season,” responded Disney Entertainment chiefs Dana Walden, Alan Bergman, and ESPN Chairman Jimmy Pitaro. “We’re open to offering DirecTV flexibility and terms extended to other distributors, but we will not undervalue our portfolio. We urge DirecTV to finalize a deal that would immediately restore our programming.”

The timing, at the start of the college football season, could cause significant issues for ABC, ESPN, and DirecTV. Last year, Disney narrowly avoided a similar outage with cable provider Charter just before the first Monday Night Football was set to air on ABC.

According to the CNN report, Disney claims that DirecTV wants “unreasonable” discounts, insisting the rates they seek align with their portfolio’s value. Meanwhile, DirecTV accuses Disney of inflating prices while moving much of its best content to Disney+ and withholding it from cable and satellite distributors.

Source: CNN