Spectrum, ESPN Update: Charter and Disney Resolve Dispute Ahead of Monday Night Football Kickoff

Matt Webb Mitovich
·2 min read
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Charter Communications and The Walt Disney Company — with just hours left until the Monday Night Football season kickoff on ESPN and ABC — have resolved the 10-day-long dispute that left 15 million Spectrum cable subscribers without ESPN, FX and other Disney-owned channels.

As part of the multi-year agreement, a “more curated” package of Disney networks and stations will be immediately restored to Spectrum’s video customers, says a Walt Disney Company press release.

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Networks that will no longer be included in Spectrum TV packages, however, are Freeform, FXX, Disney Junior, Disney XD, FXM, Baby TV, Nat Geo Wild and Nat Geo Mundo.

Among the deal points, the ad-supported Disney+ Basic will be provided to Spectrum customers who purchase the Spectrum TV Select package, and ESPN+ will be provided to Spectrum TV Select Plus subscribers.

Charter will be providing a prorated credit for Disney content that was unavailable during the carriage dispute to eligible Spectrum TV customers who had not received a credit already.

CNBC and the Wall Street Journal were first to report on the new deal.

All told, 18 Disney-owned networks, plus local ABC stations in several major markets, went black for Spectrum customers on Sept. 1. “We respect the quality video products that The Walt Disney Company produces,” Charter said at the time in a statement. “But the current video ecosystem is broken…. This is not a typical carriage dispute.”

Charter, the second-largest cable operator in the U.S., contended that as companies such as Disney put more focus and resources into streaming platforms/content, the value of their linear channels/product has vastly declined. And as more and more TV consumers “cut the cord” and defect to streaming, that leaves those who don’t to foot higher bills for packages that are stuffed with channels they don’t necessarily want.

Plus, Charter argued, those increased carriage rates are helping companies like Disney develop and beef up their — you guessed it — streaming product.

Charter had offered to accept The Walt Disney Company’s “market” carriage rates provided that it gave Spectrum cable subscribers, for free, access to ad-supported Disney+ and other Disney-owned streaming products. Disney declined, saying in a Sept. 1 statement that “Disney Entertainment has successful deals in place with pay TV providers of all types and sizes across the country, and the rates and terms we are seeking in this renewal are driven by the marketplace. We’re committed to reaching a mutually agreed upon resolution with Charter and we urge them to work with us to minimize the disruption to their customers.”

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