Originally Posted by IN2tvClassics
Haw anyone heard anything new about the DirecTV & Nexstar feud?
Are the Nexstar channels coming back anytime soon?
Nope. Well, I think I read that they were supposed to resume negotiations this weekend. Of course, now AT&T has another big blackout with CBS owned & operated stations (basically just the largest markets) gone from all AT&T systems as of last night.
I look for both to be resolved before the NFL season begins on Sept. 5, if not before. It's been 7 years since AT&T's last contract with CBS was put in place. Don't know about Nexstar. But apparently these deals carry on for longer than I had realized. So there's a lot of money at stake since the contracts they're trying to do now may last to 2025 or beyond.
My theory is that AT&T is using their size as the largest cable TV distributor in the nation while they still have it -- thanks to a combo of DTV satellite, Uverse TV, plus a few folks on streaming (DTV Now and Watch TV) -- in order to bend these guys over and drive the hardest bargains they can. Not only with local station groups but also the cable network groups, like Viacom and A+E Networks, both of whom AT&T renewed deals with this year (and maybe other groups too).
I think one of the reasons that AT&T has held back on making streaming their main cable TV delivery platform wasn't just ironing out the technical bugs (with which DTV Now subs are very familiar) but also to give AT&T time to renegotiate and renew lots of their carriage contracts, giving AT&T the power to create somewhat skinnier, cheaper channel bundles, with compensation rates for the channels as low as they could get. THAT is what will allow them to launch AT&T TV this fall with a new channel packaging system with very competitive pricing. I think that new channel packaging system was introduced in embryonic form this spring on DTV Now -- Plus and Max -- but it'll be fully fleshed out when it debuts on AT&T TV soon.
AT&T knows that they're bleeding DirecTV satellite subscribers badly, so that number is going to keep going down. I think they plan to move as many of them as possible (and ultimately all Uverse TV and DTV Now subs) over to AT&T TV in the next few years. But they know they'll never get ALL the satellite folks over on AT&T TV. A good chunk of them don't have home broadband so couldn't stream AT&T TV anyway. I think it's entirely plausible that 3-4 years from now, once they've gotten as many moved from satellite to streaming as possible, they'll sell off (either in part or in full) what's left of DirecTV to DISH.