DirecTV Tries to Appease Customers Amid Disney Blackout
By Movieguide® Contributor
Amid DirecTV’s blackout of Disney-owned channels, the streaming platform announced it’s hiking prices on Oct. 6, but it’s also offering subscribers a one-time credit.
Per Eurweb, “The DirecTV Stream Choice plan will rise by $6 to $114.99/month, while the DirecTV Stream Ultimate package will go up $10 to $129.99/month. Prices for Satellite TV packages will also increase.”
DirecTV told customers, “We’re adjusting the price of your television package in order to remain competitive in the marketplace, while still delivering the best possible programming. TV networks are continuing to increase the fees they charge DirecTV for the right to distribute the content they produce, including movies, shows, and sporting events. We remain steadfast in our commitment to bring you the best programming at a fair and reasonable price.”
Will subscribers stay committed to the streamer amid the price increase and the blackout?
The Disney-owned network blackout applies to several channels, including ESPN, SEC Network, NatGeo, Freeform, ABC and Disney Channel.
Movieguide® reported that the cause of the dispute comes “from Disney’s unwillingness to ungroup its channels requiring an all-or-nothing deal for TV providers. While Disney controls some of the most lucrative channels, such as ESPN or ABC, it also controls niche content like Nat Geo Wild. To cut costs, DirecTV would like to cut out these smaller channels, but Disney does not allow them to do so.”
“Disney is arguing for higher fees to cover increased programming costs, while DirecTV counter-argues that Disney is demanding more money while shifting content to its streaming services,” Advanced Television added. “DirecTV’s Chief Content Officer, Rob Thun, has publicly criticised Disney for seeking maximum profits at the expense of consumers, claiming the company is forcing subscribers to pay for extensive bundles that include unwanted channels.”
To compensate customers for the loss of those channels, “DirecTV has offered a one-time $20 credit to customers to account for the missing Disney networks,” Yahoo! Finance reported. “In an additional move to try to stanch subscriber cancelations during the blackout, DirecTV is offering a $30 credit to customers who sign up for either Dish Network’s Sling Orange package or Fubo’s streaming services. (The company noted that subscribers who previously claimed a $20 credit will be eligible for an additional $10 credit if they opt for the Sling and Fubo offer.)”
Movieguide® previously reported:
The battle between Disney and DirecTV continues, and Disney’s sports streaming joint venture with Fox and Warner Bros. Discovery is only adding fuel to the fire.
“DirecTV’s current public battle with Disney has led to 11 million DirecTV customers losing access to ESPN in the middle of the U.S. Open tennis tournament and a week before the New York Jets are scheduled to meet the San Francisco 49ers on MONDAY NIGHT FOOTBALL,” Reuters reported of the squabble that arose over the rates DirecTV would pay Disney for its content.
Meanwhile, Venu Sports — Disney, Fox and Warner Bros. Discovery’s joint venture — was set to launch last month. The launch was blocked after Fubo sued the companies, claiming that allowing Venu Sports would create an unlevel “playing field.”