The Disney-YouTube TV standoff has finally come to an end after 15 long days, with the two companies reaching a carriage deal late Friday. But let’s take a look at how we got here. The dispute had become the longest blackout in Disney programming history, surpassing the 13-day rift with DirecTV last fall. And let me tell you, it was getting ugly. A huge slate of college football games, including matchups like Notre Dame vs. Pittsburgh and Alabama vs. Oklahoma, were at risk of being blacked out, not to mention the return of the Dallas Cowboys on Monday Night Football.
I mean, who doesn’t love a good college football Saturday? And with games like Texas A&M vs. South Carolina and Texas vs. Georgia on the schedule, this weekend was shaping up to be a big one. But thanks to the dispute, YouTube TV subscribers were facing the possibility of missing out on all the action. And it’s not just sports fans who were affected – popular shows like Dancing With the Stars, Shark Tank, and Jeopardy! were also in jeopardy.
The two companies had been in talks, but it seemed like a resolution was nowhere in sight. In fact, Disney’s CEO Bob Iger and CFO Hugh Johnston made it clear that they were willing to play hardball, with Johnston saying they’re “ready to go as long as they want to.” Iger added that they’re working to ensure any deal “reflects the value that we deliver.” And with Disney’s ownership of distribution platforms like Fubo and the new ESPN app, they had some leverage in the negotiations.
The situation was complicated, to say the least. Disney was not only fighting over price, but also had the option to steer frustrated YouTube TV customers towards their own platforms. And while this gave them some bargaining power, it’s estimated that they were losing around $30 million per week due to the blackout. On the other hand, YouTube TV is a relatively small part of the Google empire, so they could potentially withstand the financial hit.
Former ESPN president John Skipper weighed in on the situation, predicting that the dispute would be resolved by Thanksgiving week at the latest. “You don’t want to go into the Thanksgiving period, which is awash in football, college and professional, without the service,” he said. But not everyone was as optimistic – ex-Miami Marlins president David Samson thought that the parties hadn’t yet reached the “edge of the cliff” and that Monday Night Football wouldn’t be enough to force a resolution.
Luckily, it seems that Skipper’s prediction was correct, and the two companies were able to come to an agreement. But it’s a relief for sports fans and TV lovers alike that the dispute has been resolved, and we can all go back to enjoying our favorite shows and games without worrying about blackouts.
