What's a "Carriage Dispute?" - The Resolution of Disney's Battle with DirecTV

*To look up unfamiliar terms, check out our Hollywood Glossary.

By Natalie Lifson, Agent Trainee at Buchwald and your co-Editor-in-Chief at THA

Last month, we reported on Disney and DirecTV’s dispute over the renewal of their carriage deal, which allows DirecTV to carry Disney-owned networks, including ESPN, ABC, FX, Disney Channel and others, in exchange for a fee. 

After weeks of blackouts of Disney-owned content on DirecTV, the two companies finally reached an agreement on September 14th, just in time for the 76th Primetime Emmy Awards and Saturday college football on ABC and ESPN. 

Here’s a timeline of the dispute:

August 27:

• Disney Alleges DirecTV ‘Has Not Engaged in Earnest’ With Various TV Deal Options as Contract Expiration Looms -Variety

• Disney channels like ABC and ESPN could go dark this week on DirecTV if a new deal isn't reached. -THR

August 30: Disney-DirecTV Carriage Renewal Talks Continue Ahead Of Deadline; Blackout Warnings To Viewers Could Begin Soon. -Deadline

• Disney and DirecTV remain at the bargaining table, trying to reach a renewal of their current distribution agreement, which expires Sunday. -Deadline

September 1:

• Disney Goes Dark on DirecTV in Contract Fight Over Fees for ESPN, ABC, Disney Channel, Freeform and More. -Variety

  • “ESPN and other Disney-owned channels have gone dark on DirecTV after the sides failed to come to terms on a new carriage agreement, a business impasse that reflects the broader economic pain spreading throughout the pay TV sector.” -Variety

  • The blackout affects more than 11 million subscribers.

• Rob Thun, Chief Content Officer at DirecTV, accused Disney of chasing “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.” -Deadline

• Co-Chairmen of Disney Entertainment (Dana Walden, Alan Bergman), and Chairman of ESPN (Jimmy Pitaro) released a statement in response: “DirecTV chose to deny millions of subscribers access to our content just as we head into the final week of the US Open and gear up for college football and the opening of the NFL season. While we’re open to offering DirecTV flexibility and terms which we’ve extended to other distributors, we will not enter into an agreement that undervalues our portfolio of television channels and programs.” -Deadline

September 3:

• As Carriage Fight With Disney Continues, DirecTV CFO Calls For Pay-TV Bundle A Fraction Of The Size Of Today’s “Bloated” Packages -Deadline

• DirecTV Says It Will Fight “as Long as It Needs to” in Carriage Dispute With Disney. -THR

  • The satellite TV giant is pushing for more flexibility in its packages, including “skinny, genre-based” bundles, where customers can choose the kind of content they want to pay for. -THR

September 4: Disney Hits Back At DirecTV In Carriage Fight, Saying It “Continues To Misrepresent The Facts” -Deadline

September 6: DirecTV and Disney Offer Dueling Discounts as Carriage Dispute War of Words Escalates. -THR

• “DirecTV is offering discounts and a $30 credit toward Fubo or Sling, while Disney is offering $30 off the first month of Hulu With Live TV, coming amid a tense blackout between the companies.” -THR

September 8: DirecTV Files FCC Complaint Accusing Disney of Negotiating in Bad Faith as Blackout of ESPN, ABC Drags On -THR

September 10: DirecTV, in the midst of a carriage dispute with Disney, is raising its price next month. -Cynopsis

• According to DirectTV’s website: “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.”

September 11: Disney, embroiled in a carriage dispute that has left its programming dark on DirecTV, offered to provide DirecTV’s customers with a live feed for last night’s presidential debate – an offer DirecTV refused, saying it would cause “customer confusion.” -Cynopsis

• In a blog post, DirecTV said it had agreed to return ABC for the debate if Disney was willing to return all its channels not for three hours, but through the end of “Monday Night Football” on September 17 while the companies worked to reach a new agreement.

September 12: DirecTV‘s chief marketing officer Vince Torres acknowledged today that the satellite video distributor is losing customers in a battle with Disney but believes it will “claw back the losses” later. -Deadline

September 14: Disney and DirecTV reached the deal just ahead of a full day of college football Saturday on ABC and ESPN, and on the eve of the 76th Primetime Emmy Awards. The deal will restore ESPN, ABC, FX, Disney Channel and other Disney networks to the DirecTV lineup after a nearly two-week blackout. -Variety