Disney and YouTube TV have successfully resolved a 15-day carriage dispute, reinstating Disney-owned channels to the platform. This new multi-year agreement not only brings back popular networks like ABC and ESPN but also enhances the offerings for YouTube TV’s approximately 10 million subscribers.
Details of the New Agreement
As part of the deal, subscribers will gain access to the Unlimited tier of ESPN’s direct-to-consumer service without incurring additional costs. Furthermore, Disney’s bundled services, including Disney+ and Hulu, will be featured in certain YouTube offerings. The agreement also introduces several Disney networks into new genre-based add-on packages, broadening content choices for viewers.
A key issue during negotiations was the technical process known as ingestion, which involves integrating content into YouTube’s platform. Although executives publicly debated pricing, the core concern revolved around whether YouTube would be able to directly include specific Disney content. According to a source familiar with the matter, the companies have achieved a compromise: while ESPN Unlimited content will be accessible through the YouTube TV app, YouTube will not integrate Disney channels into its larger channel store. This decision has raised concerns among content programmers about potential impacts on their long-term streaming strategies.
Impact on Subscribers and Future Flexibility
In a joint statement, Alan Bergman and Dana Walden, Co-Chairmen of Disney Entertainment, alongside Jimmy Pitaro, Chairman of ESPN, expressed that the new agreement underscores their commitment to delivering high-quality entertainment that aligns with evolving audience viewing preferences. They highlighted the agreement’s recognition of Disney’s programming value and the increased flexibility and choice it provides to YouTube TV subscribers.
YouTube TV plans to restore Disney programming, including cloud DVR recordings, within the next 24 hours. The timing of this resolution is critical. The blackout, which was the longest in Disney’s history, nearly affected a third weekend of college football and posed risks to the upcoming Monday Night Football matchup between the Dallas Cowboys and the Las Vegas Raiders.
A YouTube spokesperson stated, “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. We apologize for the disruption and appreciate our subscribers’ patience as we negotiated on their behalf.”
This agreement marks a significant step for both companies, ensuring that viewers can continue to enjoy a wide range of popular content without interruption.
