Many were shocked to see that multiple disney-owned channels, including ESPN, were removed from DirecTV last night. The reasons for this are based on a major dispute between Disney and DirecTV, which has progressed very quickly.
Disney and DirecTV had been trying to settle a license agreement, but Disney came to the table with some demands that DirecTV were not interested in entertaining.
“Just hours before today’s expiration, Disney demanded that to reach any licensing agreement or to extend access to its programming, DIRECTV must agree to waive all claims that Disney’s behavior is anti-competitive,” DirecTV claims.
“Moreover, any future lawsuits resulting from DIRECTV/Disney licensing agreements would be adjudicated in California — and not New York — because — as Disney counsel specifically stated — SDNY Judge Garnett ‘didn’t understand the issues’ when granting a preliminary injunction against Disney’s Venu Sports. Disney’s last-minute demands to foreclose upon any legal accountability for its growing pattern of anti-competitive actions should be troubling to all pro-consumer advocacy groups, regulators, and Department of Justice attorneys alike.”
This move from Disney is a clear attempt to protect the company from any potential legal issues, which has been heavily critcised by DirecTV.
Rob Thun, chief content officer at DIRECTV said “The Walt Disney Co. is once again refusing any accountability to consumers, distribution partners, and now the American judicial system,”
Disney is in the business of creating alternate realities, but this is the real world where we believe you earn your way and must answer for your own actions. They want to continue to chase maximum profits and dominant control at the expense of consumers – making it harder for them to select the shows and sports they want at a reasonable price.”
Thun continued by saying: “Consumer frustration is at an all-time high as Disney shifts its best producers, most innovative shows, top teams, conferences, and entire leagues to their direct-to-consumer services while making customers pay more than once for the same programming on multiple Disney platforms,
“Disney’s only magic is forcing prices to go up while simultaneously making its content disappear.”