DirectTV is currently incentivizing its subscribers to switch to rival services, as the Disney dispute intensifies.
DirecTV has secured agreements with Sling, a service operated by rival satellite company Dish Network, and Fubo to provide its clients with incentives to subscribe to competing streaming platforms. This is so that individuals can watch the game, which is being broadcast on ABC and ESPN, two channels unavailable on DirecTV due to a blackout.
Impacted DirecTV, DirecTV Stream, and U-Verse customers can avail of a complimentary seven-day trial of Fubo for two of its packages that encompass ESPN and Disney networks, alongside a $30 discount on the initial month's subscription fee. DirecTV is additionally providing its patrons with a $30 credit to subscribe to Sling's orange tier, incorporating ESPN channels.
DirecTV mentioned that these deals are merely a "modest attempt" to aid customers, given that the prolonged conflict over the expired distribution agreement with Disney has entered its second week. DirecTV continues to extend credits to its clients but has escalated the amount from $20 to $30.
On the seventh day, DirecTV lodged a complaint with the Federal Communications Commission, accusing Disney of failing to engage in good faith negotiations and signaling that a resolution doesn’t seem imminent.
In the 10-page complaint, DirecTV argued that the talks stagnated due to Disney's insistence on bundling and market penetration requirements, which a federal district court judge in New York recently found to be illegal, anti-competitive, and detrimental to consumers in the context of the 'Venu' joint venture.
Last month, a federal judge temporarily impeded the launch of 'Venu Sports,' a sports streaming venture by Disney, Fox Corp., and Warner Bros. Discovery, after Fubo filed a lawsuit against the media companies (Warner Bros. Discovery being the parent company of CNN).
Approximately 11 million subscribers have been impacted by Disney withdrawing its ABC stations, ESPN, and other networks from DirecTV's list of available channels last week. This blackout also precedes the upcoming presidential debate between Kamala Harris and Donald Trump on ABC as well as the commencement of the NFL and college football seasons.
"We remain committed to negotiating with DirecTV to restore access to our content as promptly as possible," a Disney spokesperson told CNN. "We urge DirecTV to desist from creating distractions and instead focus on serving its customers by concluding a deal that would enable their subscribers to watch our robust upcoming lineup of sports, news, and entertainment programming, commencing with the revival of 'Monday Night Football.'"
However, the blackout hasn't deterred DirecTV from planning to increase the prices of DirecTV Stream and traditional satellite services. From October, monthly fees will rise between $2 to $10, depending on the tier and service utilized by the customer.
–Reportedly contributed by CNN’s Robert Ilich.
Customers affected by the blackout can utilize the $30 credit from DirecTV to subscribe to Sling's orange tier, as it includes ESPN channels, helping them to watch the games usually aired on ESPN. This business strategy allows DirecTV to provide alternate options for its clients, despite the ongoing distribution dispute with Disney.
