'Get It Done,' Says FCC's Carr As Disneyyoutube TV Blackout Drags On Amid Contract Dispute
- The blackout is due to a lack of agreement over the terms of renewing the distribution deal. Fans have lost access to college football games, a Monday Night Football matchup, and the New York City marathon. Social media users blame Disney for bargaining for a hefty fee in a bid to promote its Hulu and Fubo services.
The YouTube-Disney standoff has caught the attention of the Federal Communications Commission (FCC) Chair Brendan Carr, as he called for a speedy resolution. Disney channels, including ESPN and ABC, have been removed from the Alphabet-owned video streaming platform since Oct. 31 due to a lack of agreement over the terms of renewing the distribution deal.
Disney stock has remained relatively unchanged since the blackout, while Alphabet's stock has been responding to broader market trends.
Carr Chimes In
The FCC chair said,“Google and Disney need to get a deal done and end this blackout.”“People should have the right to watch the programming they paid for - including football. Get it done!”
Carr's made the comments while resharing a post from YouTube in which it said it has been negotiating with Disney, offering a fair payment for its content, so that its programming can return to YouTube TV. YouTube also said it will offer its subscribers a $20 credit for the disruption.
Amid the standoff, Disney's request to restore the channels on YouTube for the Nov. 4 election day alone was turned down by Alphabet, reasoning that the 24-hour restoration will confuse users.
Sports Fans Left In Lurch
The blackout saga has primarily come to haunt sports lovers. According to a Bloomberg report, sports fans, despite paying their monthly subscriptions, have lost access to college football games, a Monday Night Football matchup, and the New York City marathon.
The report stated that neither company is responsible for the predicament, but rather the leagues. Broadcast rights deals have become increasingly expensive, with U.S. sports rights payments reaching $14.6 billion so far this year. It is projected to touch $29.3 billion for the year. Disney's ESPN pays around $2.7 billion to the NFL each year, and as a cascading effect, the media conglomerate charges cable companies and streamers around $15 per subscriber per month.
While social media users took potshots at Disney, alleging that the company seeks a massive premium over the actual value of ESPN, given that it has two competing services in Hulu and Fubo.
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