Disney strikes deal to bring Monday Night Football back to DirecTV

By Clive McKeef

Walt Disney and DirecTV are back in business with each other after a dispute that has kept ESPN, ABC, and other Disney-owned networks off of the cable provider since the beginning of September.

Satellite-TV operator DirectTV wanted relief from contract terms that require it to pay for a large share of subscribers whether they watch the programming or not and the ability to offer smaller, cheaper channel packages.

DirectTV, which is owned by AT&T Inc. (T) and private equity company TPG Inc, offered subscribers $20 refunds due to the loss of the channels.

ESPN and other channels Disney (DIS) had blocked have been restored, giving DirecTV subscribers access again, to Monday Night Football, college football games, and other programming from Disney's channels, technology news website The Verge reported Saturday.

As part of the deal, DirecTV will offer packages that include Disney Plus, Hulu, and ESPN Plus as bundles or a la carte options. It will also include "Disney's upcoming ESPN flagship direct-to-consumer service" when it launches.

DirecTV agreed to pay "market-based rates" to carry the channels, the companies said in a joint statement Saturday. DirecTV will also be able to offer a new online version of ESPN to its subscribers at no additional cost after it launches next year.

"Through this first-of-its-kind collaboration, DIRECTV and Disney are giving customers the ability to tailor their video experience through more flexible options," the companies said in a joint statement. "We'd like to thank all affected viewers for their patience and are pleased to restore Disney's entire portfolio of networks in time for college football and the Emmy Awards this weekend."

In an interview with Bloomberg after the agreement was announced, DirecTV Chief Executive, Bill Morrow, said the company will still need to reach agreements with other programmers so that it can offer the smaller channel packages. A launch of those products wouldn't come until next year, he said.

Disney and DirecTV's spat began on September 1st, when negotiations between the two for a new carriage deal broke down, and Disney pulled all of its programming.

-Clive McKeef

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09-14-24 1051ET

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