in ,

YouTube TV and Disney agree on a deal to bring back channels

Recently, we reported that YouTube TV would lose Disney-owned channels due to negotiations falling apart. However, there has been a positive update, as the two partners have finally found a compromise to bring back the channels.

Last week, news emerged that due to unresolved negotiations to renew their contract, Disney-owned channels and content would be removed from the Google-backed YouTube TV streaming platform. While it resulted in a $15 reduction in monthly subscription fees, it was not a welcome development for subscribers.

The failed negotiation would have meant the loss of over a dozen channels owned by Disney, including popular sports channels like ESPN. However, the loss would also affect other Disney-own property on third-party channels, including National Geographic. Customers also lost their DVR recordings of Disney programming. That would have left a gaping hole in YouTube TV’s offering and rendered it less competitive.

YouTube TV revealed in a blog post that Disney refused to treat it like another TV services provider in determining prices. Disney countered that YouTube TV did not want to pay the going rate in the industry. However, both parties held the door open for more negotiations, recognizing how important each other is in the relationship.

After a two-day blackout, the two partners have been able to work out a deal, as they have announced their partnership will continue. The details of the new contract have not been disclosed.

Analysts project that YouTube TV has more than 4 million accounts on its platform in the US alone, giving both parties more than enough motivation to resolve the contract issues. YouTube TV would hemorrhage users due to cancellation, while Disney would lose advert revenue due to plummeting number of viewers.

According to Disney, “We are pleased to announce that after a brief disruption, we have reached a new distribution agreement with Google’s YouTube TV for continued carriage of our portfolio of networks. We appreciate Google’s collaboration to reach fair terms that are consistent with the market, and we’re thrilled that our robust lineup of live sports and news plus kids, family, and general entertainment programming is in the process of being restored to YouTube TV subscribers across the country.”

YouTube TV said in a blog post that it was already restoring Disney channels on its platform. “We have already started to restore access to Disney networks like ESPN and FX, including their live and on-demand content, as well as any recordings that were previously in your [DVR] Library. We will also be turning on the local ABC stations over the course of the day.”

As to the price reduction, YouTube TV has said it will honor the price as promised, even though customers will have access to the restored channels. This gesture should at least soothe some of the angry subscribers. The fee is now back to $64.99 per month.

To the loss of the subscriber, blackouts like this have become common when the parties involved cannot reach an agreement over payment structure. There were 342 such blackouts in 2020, significantly more than the 278 recorded in 2019, according to data provided by the American Television Alliance, ATVA, an industry group for cable, satellite, and telco TV providers.

Earlier this month, YouTube TV also ended a months-long stand-off with Roku after a series of accusations of anti-competitive conduct. The new deal allows YouTube to distribute its content through the Roku streaming platform for multiple years.

Written by HackerVibes

Here are the exciting phones of 2022!

TikTok and VDC collaborates on TikTok Kitchen to bring you trending dishes