Disney, YouTube and ESPN
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In a statement on Oct 30, YouTube accused Disney of proposing costly economic terms that would raise prices on YouTube TV customers and give our customers fewer choices, while benefiting Disney's own live TV products." YouTube TV also said it will offer subscribers a $20 credit should ESPN content remain unavailable for an extended period of time.
If you were hoping for Disney and YouTube TV to quickly solve their differences, we've got bad news for you. Two weeks ago, Disney and YouTube TV failed to reach an agreement on a new carriage rights deal.
Walt Disney Co. executives on Thursday warned that the company's dispute with YouTube could drag on, leaving subscribers to the Google-owned video platform without access to ABC, ESPN, FX and other programming from the entertainment giant.
On the streaming topic, analysts pointed out that they were taking into account 14 days of impact from the ongoing YouTube TV blackout, which they estimated at “$60 million revenue headwind.” This means that with each week that passes with Disney channels not accessible via YouTube TV, Disney is losing around $30 million.
The standoff in carriage negotiations between YouTube TV and Disney has reached two weeks. At the end of the day on Oct. 30, the previous deal between YouTube TV's parent company, Google, and Disney, which owns ABC and all ESPN-affiliated channels, expired, leaving all of Disney's catalog off the streaming service.
To redeem your credit, please go to the ‘Updates’ tab in Membership Settings using your web browser, and follow the prompts. Once complete, this discount will be applied to your next bill for YouTube TV.
YouTube TV customers are growing frustrated by missing big events. Analysts say the fight must be resolved soon to avoid alienating them.
The release of the memo to ESPN employees is the latest twist in the protracted stand-off between the distributor and content company.