Disney CEO Bob Iger Vows to Fight YouTube TV Blackout of Disney Networks
It has been two weeks since YouTube TV blacked out Disney networks, including ESPN and ABC, and Disney’s top executives are determined to fight for a resolution that is acceptable to the media company.
Disney CEO Bob Iger, in a statement during the company’s September quarter earnings call, emphasized the importance of reaching a deal without interruption to the consumer. He stated that the proposed deal is on par with agreements made with other large distributors and that they are working tirelessly to restore their channels to the platform.
Despite the ongoing negotiations, Iger highlighted the need for a deal that reflects the value Disney delivers, which has been acknowledged by YouTube and Alphabet as greater than other providers.
Disney CFO Hugh Johnston also expressed a firm stance in an interview with CNBC, stating that they are prepared to continue the battle as long as necessary. He acknowledged that the negotiations could take time but assured analysts that the company had factored this into their guidance.
Both Disney and Google are feeling the economic impact of the blackout, with estimates suggesting Disney is losing $30 million per week in revenue. The standoff is also affecting Disney’s TV ratings and causing frustration among YouTube TV subscribers.
The dispute between Disney and Google revolves around pricing, with both sides accusing the other of unfair demands. YouTube TV customers have already missed out on key programming, including sports events and primetime shows, leading to concerns about cancellations.
As the negotiations continue, both companies remain entrenched in their positions, with no resolution in sight. The blackout of Disney networks on YouTube TV has left viewers frustrated and uncertain about when a deal will be reached.
To mitigate the impact on subscribers, YouTube TV has started offering a one-time $20 credit to affected customers. However, the longer the blackout persists, the more pressure there will be on both Disney and Google to come to a resolution.
