DirecTV-Disney Carriage Talks Fall Ahead of ‘MNF,’ Harris-Trump Debate and Emmys

DirecTV-Disney Carriage Talks Fall Ahead of ‘MNF,’ Harris-Trump Debate and Emmys

The distribution dispute between DirecTV and Disney has become a new, nerve-wracking area as the companies have failed to reach an agreement. NFL Monday Night Football the season starts on ESPN.

“Disney wants you to miss something Monday night football on ABC and ESPN as DirecTV works on a new agreement,” DirecTV read a clear message to viewers as the game was about to begin.

When contacted by Deadline, representatives from both companies made no official statements regarding the fate of the New York Jets-San Francisco 49ers game.

Sixteen Disney networks, including ESPN, have been out of touch with the pay TV provider since September 1, giving more than 11 million subscribers access to US Open tennis, college football and The Bachelorette finale. Programming now at risk of being unavailable includes Tuesday’s presidential debate and Sunday’s Primetime Emmy Awards, though the debate will air on C-SPAN and other networks available on DirecTV. Recognizing the NFL’s influence, DirecTV last Friday offered discounts to subscribers who sign up for Sling TV or Fubo. Disney has also slashed the price of Hulu + Live TV and promoted other pay-TV channels for consumers.

The debut of MNF has long been seen as a major milestone in the dispute, which at this point in the year is Disney’s second in two years. In September 2023, the media giant and Spectrum parent Charter Communications were locked in a 10-day standoff that ended just hours before last season’s Monday night kickoff. (As was the case last year, this season’s opener features the Jets and their headline-grabbing quarterback, Aaron Rodgers.) The result of the Charter resolution was a new model agreement that dropped linear distribution for Freeform and a handful of other networks in exchange for a boost to Disney+, Hulu and ESPN+ on Spectrum systems.

DirecTV, now a private entity owned by AT&T and private equity firm TPG, has a fundamentally different business model than Charter. It does not offer broadband, wireless or other non-video services, which it makes available via satellite and the Internet, as well as a legacy cable system.

In addition to ABC and ESPN, Disney’s portfolio of television networks includes ESPN2, ESPNU, ESPNews, ESPN Deportes, ACC Network, SEC Network, Disney Channel, Disney Junior, Disney XD, FX, FXX, FX Movie Channel, Freeform, National Geographic and Nat Geo Wild. The Burbank-based conglom also has O&Os in eight top television markets, including New York, San Francisco, Los Angeles, Chicago and Philadelphia, the site of Tuesday’s presidential debate.

The two sides have been at odds in the press in recent days, with Disney claiming last week that DirecTV “continues to distort the facts” and the satellite TV giant over the weekend accusing the Bob Iger-run media company of negotiating in bad faith.

DirecTV CFO Ray Carpenter acknowledged that the dispute is more “existential” for his company than it would be for a more diversified pay-TV operator. On a conference call with analysts, Carpenter said the company’s “bloated” current lineup of more than 100 channels needs to be trimmed to between 10 and 50 channels to better reflect viewing habits in the streaming era.

Some industry observers have said they’re seeing signs that DirecTV is unwilling to rush into a deal that doesn’t advance its strategic objectives. “They’re not negotiating with any sense of urgency,” a source close to the talks told Deadline. “Disney wants to get this done, with the football and the Harris debate, the Trump debate, the Emmys,” he added. Another senior source who has done business with both companies thinks it’s possible that, given the Charter deal and the upcoming launch of a standalone streaming service for ESPN, Disney may not be in a rush either. “They may just be willing to give their streaming services a big boost because that’s where the future lies,” the person told Deadline.

Financially, carriage disputes typically hurt both parties in the short term. In the year since Charter and Disney’s standoff, the overall sentiment surrounding the deal has changed. Most observers initially registered a shock when Disney lost the linear distribution of networks that had generated an estimated $300 million in affiliate fees. Over time, the minimum penetration guarantees secured for ESPN and the integration of Disney’s streaming offerings into Spectrum packages helped advance important business goals for the programmer.

Erik Pedersen contributed to this report.