YouTube TV Issues $20 Credits as Resolution With Disney Stalls

As the YouTube TV-Disney carriage dispute continues with no resolution in sight, even more signs of stress are beginning to appear. 

With the blackout of Disney channels on the No. 4 U.S. pay-TV distributor now well into its second week, both sides are beginning to make further moves in response. YouTube TV and ESPN parent company Disney continued to negotiate over the weekend, but a new deal remains far away, according to industry sources and multiple reports. 

Among the interim actions taken in recent days:

• YouTube TV has started issuing $20 credits. When the channel blackout began Oct. 31, the carrier promised $20 bill credits to subscribers if the channels were unavailable “for an extended period.” On Sunday, an extended period became now, as YouTube TV started notifying subscribers of the available credits that can be applied to their next bill. The credits will be issued by Wednesday. 
• The NFL is again making Monday Night Football available over the air. Officially, the league has not taken a position in the dispute, but it is making MNF as accessible as possible while the YouTube TV-Disney battle continues. Last week’s Cardinals-Cowboys game on ESPN was simulcast on the broadcast ABC channel, and the next two MNF matchups—a high-profile tilt on Nov. 10 between the Eagles and Packers, and a Nov. 17 game between the Cowboys and Raiders—will be, too.
• Disney continues to hammer YouTube TV’s tactics in internal communications. In the second company memo about the dispute in as many weeks, Disney executives cast a rather downbeat outlook on the talks. “YouTube TV continues to insist on receiving preferential terms that are below market and has made few concessions,” read the Friday memo from ESPN chairman Jimmy Pitaro and Disney Entertainment co-chairs Dana Walden and Alan Bergman. “Rather than compete on a level playing field, Google’s YouTube TV has approached these negotiations as if it were the only player in the game.”
• YouTube TV levied its own fresh criticism at Disney. Soon after the memo became public, the distributor again attacked Disney. “Once again, Disney is resorting to their old tactics like leaking documents to the press, negotiating in public through their paid talent, and misrepresenting the facts, including the deals they’ve offered and taking credit for our product proposals,” the company said. 

Viewership issues will continue to be closely watched as the channel blackout continues. During the initial weekend of the dispute, there were some noticeable effects on college football, though historic audiences for the end of the World Series certainly were a factor. The Cardinals-Cowboys game on MNF, meanwhile, showed a 21% audience decline compared to the comparable Week 9 game last year.