From Yahoo:
“CBS Stations Go Dark On DirecTV,
U-Verse In AT&T Contract Dispute”
CBS stations in more than a dozen
markets, including New York and Los Angeles, have gone dark on AT&T’s
DirecTV satellite systems, DirecTV Now internet-delivered bundles and U-verse
cable systems. The dispute went public earlier this week, with the usual
exchange of harshly worded statements. The carriage contract between the CBS
stations and AT&T-owned satellite giant DirecTV, DirecTV Now and U-verse
cable systems officially expired Friday at 11 PM PT. Affected markets include
New York, LA, Chicago, Philadelphia, Dallas, San Francisco, Boston, Atlanta,
Tampa, Seattle, Detroit, Minneapolis, Miami, Denver, Sacramento, Pittsburgh and
Baltimore and 117 CBS stations and affiliates on DirecTV Now. In addition, CBS
Sports Network has gone dark nationally from DirecTV and DirecTV Now, and
Smithsonian Channel is down on DirecTV. The fight comes at the same time that
dozens of local stations owned by Nexstar are also at an impasse with AT&T,
leaving those stations dark for nearly three weeks. Last March, AT&T
reached an 11th-hour settlement with Viacom to avoid a blackout. “This is just
the latest example in AT&T’s long and clear track record of letting its
consumers pay the price for its aggressive tactics to get programmers to accept
below market terms,” CBS said in a statement in the overnight hours. “While we
continue to negotiate in good faith and hope that AT&T agrees to fair terms
soon, this loss of CBS programming could last a long time.” AT&T responded
with its own version of events. “CBS is a repeat blackout offender,” it said in
a statement. “CBS continues to demand unprecedented increases even as CBS
advances content on CBS All Access instead of on its local broadcast stations.
CBS has said publicly that it priced All Access much higher to capitalize on
customers it can capture from cable, satellite or other means of distribution.
In short, CBS is seeking to convert a free, publicly subsidized broadcast
station into a high-cost channel while leaving cable and satellite customers
holding the bag.” Programming on CBS at this point in the calendar is hardly
setting viewership records, but the longtime leading broadcaster in terms of
total viewers remains a powerhouse, especially during football season. NFL and
SEC college games return in early September. In a lengthy statement Friday
morning, AT&T said it has “offered to pay CBS an unprecedented rate
increase and the highest fee we currently pay to any major broadcast network
group. CBS has refused.” It further claimed that CBS was refusing to allow
AT&T to offer CBS All Access, the subscription streaming service, in the
manner that Amazon, Apple and Roku do. The telecom giant therefore concluded
that CBS was trying to “upsell” pay-TV consumers, forcing them to pay $6 or $10
a month for All Access for either the limited-advertising or no-advertising
version. Earlier this week, CBS said AT&T had proposed “unfair terms” that
were “well below those agreed to by its competitors.” The expiring contract ran
for seven years, an eternity by today’s fast-evolving pay-TV standards. In
2012, when that deal would have begun, millions more customers were paying for
traditional bundled TV packages and stand-alone streaming services barely
existed. Further complicating the picture for AT&T is its $81 billion
acquisition of Time Warner, which closed in mid-2018 and left the company with
$170 billion in long-term debt at the end of last year. AT&T has
methodically been cutting costs and eliminating large chunks of that debt, with
executives promising to return to normal debt levels within the next two to
three years. AT&T will report its quarterly earnings on July 24.
^ For now I still have CBS, but I
haven’t had Fox for about 3 weeks. I am so sick and tired of DirecTv playing
these games with its customers all the time. I remember when we lost MTV and
several other channels a few years ago. If DirecTv keeps this up I will have to
seriously consider moving to another company. I had thought things would get
better when AT&T bought DirecTv yet so far it hasn’t. ^
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