Disney has released an updated and detailed statement regarding their ongoing dispute with Charter/Spectrum, which has led to ESPN and 18 other Disney networks, including ABC stations, going dark across Spectrum, the No. 2 cable TV service in the U.S.
What’s Happening:
- Millions of Spectrum cable viewers have lost access to ESPN and other Disney-owned channels like ABC this holiday weekend, with them being blacked out due to a dispute between Spectrum’s parent company—Charter Communications—and Disney Entertainment.
- Disputes between cable companies and content providers aren’t new. However, millions of consumers may find themselves perplexed and frustrated by what’s going on.
- To try and “cut through the noise,” Disney has released a list of important points to consider as the dispute disrupts one of the biggest TV weekends of the year:
- Losing ESPN is a major issue for consumers since it’s one of the most popular channels. In fact, ESPN aired more than half (53) of the top cable 100 telecasts in Charter homes during the past year, per Nielsen, the leading audience measurement, data and analytics company. That includes all 5 of the top 5.
- In the average month, 71% of Charter subscribers tune into Disney’s networks or stations. In fact, Charter subscribers watched more than 3.3 billion hours of content on Disney networks and stations over the past year, according to Nielsen.
- Although Charter claims that they value their customers, they declined Disney’s offer to extend negotiations which would have kept Disney-owned networks up for consumers in the middle of perennial programming events like the US Open and college football.
- Even though Charter also claims to value Disney’s direct-to-consumer services, the cable company is demanding these different services for free—as they have stated publicly—which does not make economic sense. Moreover, it does not make sense for consumers who desire the flexibility to have our streaming platforms as standalone services.
- Disney notes that many Charter customers have been experiencing up to three-hour hold times to cancel their cable subscription after Disney’s networks went dark.
- They also note that consumers have many options on pay TV providers that offer Disney’s entire portfolio of networks and programming, as well as TV streaming services that can be accessed by downloading an app or over a broadband connection.
- Meanwhile, here is what Charter Communications has said about the situation:
- “We are disappointed with The Walt Disney Company’s decision to remove their networks from our lineup and deny our customers the opportunity to watch. We would agree to The Walt Disney Company’s significant rate increase despite their declining ratings. But they are trying to force our customers to pay for their very expensive programming, even those customers who don’t want it or worse, can’t afford it…The current video ecosystem is broken. With The Walt Disney Company, we have proposed a model that creates better alignment for the industry and better choices for our customers. We are hopeful we can find a path forward.”