DirecTV Raises Satellite and Streaming TV Prices During Disney Blackout

DirecTV Raises Satellite and Streaming TV Prices During Disney Blackout

DirecTV subscribers just lost ESPN, ABC and other Disney channels in an unresolved contract dispute. Now the pay-TV provider is telling customers it’s raising prices next month.

The higher prices for DirecTV’s satellite TV and streaming TV services will go into effect on or after Oct. 6, 2024, the company said in notices it began sending to subscribers earlier this week. Customers will see the new prices in their next billing cycle, DirecTV said.

“We are adjusting the price of your television package to remain competitive in the marketplace while still delivering the best programming possible,” the company said in the notice to customers. “Television networks continue 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 providing you with the best programming at a fair and reasonable price.”

Starting October 6, DirecTV Stream Choice will increase in price by $6, to $114.99/month, and DirecTV Stream Ultimate will increase by $10, to $129.99/month. DirecTV’s satellite TV packages will also see price increases of $2 to $10 per month, depending on the tier, also effective October 6. Additionally, regional sports fees will increase by up to $2 per month for some satellite customers, depending on zip code, but some subscribers will see no change, according to DirecTV.

DirecTV’s pricing changes have likely been in the works for a while, but the timing of the announcement to customers is particularly bad. The company failed to reach an agreement with Disney before the expiration of their previous distribution agreement on September 1, resulting in ESPN, ABC, SEC Network, Disney Channel, NatGeo, Freeform and the rest of Disney’s networks being pulled from DirecTV’s lineup.

DirecTV has offered a one-time $20 credit to customers to make up for the missing Disney networks. In an additional effort to combat subscriber cancellations during the blackout, DirecTV is offering a $30 credit to customers who sign up for Dish Network’s Sling Orange package or Fubo’s streaming services. (The company noted that subscribers who previously claimed a $20 credit are eligible for an additional $10 credit if they opt into the Sling and Fubo deal.)

DirecTV is majority owned by AT&T, with a minority stake owned by TPG. The service had 11.3 million subscribers (including AT&T U-verse TV) at the end of 2023, according to estimates from Leichtman Research Group. That’s down from a peak of 25.5 million at the end of 2016.