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- Disney and YouTube TV agreed to terms on a carriage deal that ends a long blackout.
- The two sides had been at odds over the value of Disney’s channels, including ESPN.
- Disney lost an estimated $30 million a week from the dispute, according to Morgan Stanley.
The war between Disney and YouTube TV is finally over.
Roughly 10 million YouTube TV subscribers can once again watch ESPN and Disney’s other TV networks after a two-week fight between the media juggernaut and the Google-owned live TV service.
“We’re happy to share that we’ve reached an agreement with Disney that preserves the value of our service for our subscribers and future flexibility in our offers,” YouTube said in a statement. “Subscribers should see channels including ABC, ESPN, and FX returning to their service over the course of the day, as well as any recordings that were previously in their Library. We apologize for the disruption and appreciate our subscribers’ patience as we negotiated on their behalf.”
Disney did not immediately resond to a request for comment.
Disney and YouTube’s standoff lasted 15 days, which was one of the longest recent carriage disputes and a record for the Mouse House.
During the blackout, YouTube TV users couldn’t watch programs from Disney, ABC, or ESPN, including college football games and “Monday Night Football.” Shows like ABC’s “Dancing with the Stars” were also affected by the blackout. Google gave YouTube TV subscribers a $20 bill credit as the fight dragged on.
In the skirmish, Disney said YouTube TV wouldn’t pay the going rate for its channels. The TV service countered that paying the price Disney demanded would force it to raise prices for the second time in 12 months.
Disney told its customers that YouTube, backed by $3.4 trillion Google-parent Alphabet, was abusing its size and strength. A company spokesperson had said in a statement that YouTube TV was trying to “undercut the industry-standard terms we’ve successfully negotiated with every other distributor.”
Google countered that Disney could play hardball since it controls two of those distributors — Hulu + Live TV and Fubo — plus the ESPN app. That reasoning resonated with some sports fans, who blamed Disney, accusing the company of wanting to drive up prices for its channels or redirect them to its YouTube TV alternative.
Both sides had reasons to make a deal happen.
Disney lost an estimated $30 million a week, or $4.3 million per day, while its channels were off the air, according to Morgan Stanley. And YouTube TV may have lost long-term customers to Disney’s rival live TV products.
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