Dish HD vs Disney (DISH sort of won...)

[HDRoberts]

True. But less than half of a monthly bill goes to paying the programmers, leaving one to wonder the true motivation. Think about this equation:

Bill is $50 a month. About $25 a month goes to programmers. Programmers demand maybe a 7 percent increase. Bill goes up to $53 a month.

The costs only went up $1.75, and Dish Network would get an extra $1.25 from their rate increase.

Yet the complaint is that rates are always going up. I sincerely hope no one believes that these rate increases are only to cover programmers.

No, I don't that rate increases are "only" for programmers. I hope you realize that launching a satellite or two per year, plus maintaining uplink facilities, not to mention designing new STBs and software is not free, and also has rising costs.

Still, it is a factor, and I guarantee every penny additional programmers ask for turns up on our bills.

 

[Bonneville44]

i think dish's prices will continue to rise expnentially to prop up what seems like a failing business model no matter if I have ABC family in HD or not.

 

[Bonneville44]

not all HD for life folks have ceded to a $99 fee or a new 2 year agreement (a ton were probably grandfathered in) and then the new customers were just that, new customers who get the same two year "contract" where dish can do whatever the heck they want and we get the shaft.

 

[mike123abc]

From Dish's last quarterly report: Form 10-Q


Subscriber-related revenue $ 3,141,326

Subscriber-related expenses 1,648,458

Subscriber-related expenses. “Subscriber-related expenses” principally include programming expenses, costs incurred in connection with our in-home service and call center operations, billing costs, refurbishment and repair costs related to receiver systems, subscriber retention and other variable subscriber expenses.

Note that other items like settop boxes, satellite costs, transmission costs, etc are separate items in their 10Q. So, about 52.4% of subscription $ goes towards programming and customer service. I would speculate 35-40% of your monthly bill goes to programming costs.

 

[tvropro]

From Dish's last quarterly report: Form 10-Q


Subscriber-related revenue $ 3,141,326

Subscriber-related expenses 1,648,458

I wonder where Charlies high priced lawyers that create all the grief are in the equation?

 

[empiretc]

I hope they catch up, just got this.

To Our Valued Customers...

Time Warner Cable is always negotiating new deals with TV networks. Recently, we reached a new long-term agreement with Disney/ABC and ESPN, so you can continue to watch your favorite channels and the shows you love for years to come.

There will be no interruption of ESPN or Disney channels, as well as WABC in New York, KABC in Los Angeles, WTVD in Raleigh-Durham-Fayetteville and WTVG in Toledo. They'll stay right here on Time Warner Cable. In fact, our agreement means more networks and services for you, including the following*:

• Disney Junior - a new 24-hour basic channel for preschool-age children, parents and caregivers launching in 2012. • ESPN3.com - ESPN's live sports broadband network will be available to all Time Warner Cable subscribers who get ESPN. • A New ESPN Service - customers will be able to view ESPN, ESPN2 and ESPNU through broadband and mobile Internet devices. • ESPN Goal Line - a college football super-highlight channel will be available only to Time Warner Cable’s Sports Pass customers starting as early as September 4, 2010. • ESPN Buzzer Beater - a college basketball service similar to ESPN Goal Line, will be available to Time Warner Cable’s Sports Pass customers for college basketball season. • Expanded Video On Demand Services - including ABC On Demand, Disney-branded On Demand offerings for kids, local sports content in select markets, plus the subscription Video On Demand service "Disney Family Movies." • Start Over and Look Back - featured on a variety of Disney Media Networks content. • ESPN Deportes - will be available to a larger Time Warner Cable footprint. • ESPN 3D

 

[Scott Greczkowski]

Its good to see Time Warner and ABC/DISNEY come together with a deal...

Now if only some other company I know could do the same thing...

Enough of the lawsuits its time for these companies to work together as partners, they need each other.

 

[Voyager6]

Its good to see Time Warner and ABC/DISNEY come together with a deal...

Now if only some other company I know could do the same thing...

Enough of the lawsuits its time for these companies to work together as partners, they need each other.

A partnership requires BOTH sides to be flexible and cooperate. Not sure that Disney/ABC has been cooperating much lately. Seems like their attitude has been to stick it to E*.

 

[jansan]

Just like Voyager6 said. While we lost the HD feeds to some Disney channels, we didn't have all channels yanked away. One deal has been reached and now the executives can focus on their next pressing issue.

The other providers will want similar services at the same price when their contract expires.

Hopefully, both can get down to business.

 

[Greg Bimson]

A partnership requires BOTH sides to be flexible and cooperate. Not sure that Disney/ABC has been cooperating much lately.

An agreement usually means some type of compromise...

Disney and Cablevision came to an agreement so that Cablevision could retransmit ABC's broadcast of the Oscars.

Disney and Time Warner just came to an agreement.

I don't think Disney is being uncooperative. It appears there is only one provider having a true dispute.

 

[Voyager6]

An agreement usually means some type of compromise...

Disney and Cablevision came to an agreement so that Cablevision could retransmit ABC's broadcast of the Oscars.

Disney and Time Warner just came to an agreement.

I don't think Disney is being uncooperative. It appears there is only one provider having a true dispute.

The dispute is over the most favored clause in the contract between E* and Disney/ABC. It seems like Disney/ABC gave more favorable terms to another provider and then refused to give those same terms to E*. Hence the need for the court case. I guess we will find out what "most favored" actually means when the appeal is heard and settled. Disney/ABC is taking a hard line with E* in this case and definitely has been less than cooperative. Pay, Pay, Pay is Disney's mantra.

 

[empiretc]

Pay, Pay, Pay is Disney's mantra.

Just like their theme parks!

 

[Laddyboy]

Just like their theme parks!

There was a time, say the 70s, when you could take the family there and actually afford it. Those were the days. When Walt passed on everything changed. When Sam Walton passed on, everything changed.

 

[JSheridan]

There was a time, say the 70s, when you could take the family there and actually afford it. Those were the days. When Walt passed on everything changed. When Sam Walton passed on, everything changed.

Ain't that the truth!

 

[tvropro]

The dispute is over the most favored clause in the contract between E* and Disney/ABC. It seems like Disney/ABC gave more favorable terms to another provider and then refused to give those same terms to E*. Hence the need for the court case. I guess we will find out what "most favored" actually means when the appeal is heard and settled. Disney/ABC is taking a hard line with E* in this case and definitely has been less than cooperative. Pay, Pay, Pay is Disney's mantra.

Isn't one of the issues is Dish didn't pay up what they already owe. Maybe if Charlie would pay that bill Disney may be a bit more receptive to other deals.

 

[Greg Bimson]

The dispute is over the most favored clause in the contract between E* and Disney/ABC. It seems like Disney/ABC gave more favorable terms to another provider and then refused to give those same terms to E*.

Disney was providing the disputed four HD channels to Comcast, DirecTV and Time Warner. Disney was not going to provide those channels to Dish Network within the current carriage agreements. It is most likely that the three providers signed an additional agreement to gain access to those four channels.

Dish Network sued in the New York State Supreme Court. One argument during the suit was the four HD channels should hae been provided under the "most-favored nation" clause. The courts rightly interpreted the "most-favored nation" clause as protection from pricing and packaging contracted channels, so the additional HD channels were not covered by the clause. Dish Network lost and was ordered to pay $65 million in interest accrual, because they took on average of 71 days to pay Disney when the terms were net 45.

So Dish Network has filed another suit for violations of the "most-favored nation" clause, but it is unknown what exactly Dish Network's stance is in this dispute. It has something to do with discounts regarding ESPNU and ESPN News (I think).

Either way, it looks like sour grapes because Dish Network is going back to court again about the most-favored nation clause.

 

[dangue]

It is most likely that the three providers signed an additional agreement to gain access to those four channels.

The courts rightly interpreted the "most-favored nation" clause as protection from pricing and packaging contracted channels, so the additional HD channels were not covered by the clause.

I'm sorry, but unless you have insider knowledge of the contracts related to the HD feeds of these channels, the first statement is pure speculation. And without inside knowledge of the contracts involved and the circumstances under which other providers were granted HD carriage rights, there's no way to tell if the court rightly decided the matter. You could be 100% right, but without more information, it's just your opinion.

 

[reddice]

Nick is all repeats tonight as usual. Disney is still not in HD on Dish so I won't be watching Camp Rock 2 tonight.

 

[tvropro]

Seems Dish Network lives in court for one thing or another. IMHO I think they should stop this crazy sue sue sue crap, pay what they owe, sign the agreement like the others and give the subscribers what they pay for. But Charlie Ergan is I want it my way only type of guy and don't care who suffers why he tries to get it his way.

In the mean time ticked off subscribers are jumping ship to Direct & Cable since they aren't getting what the contracted for when they signed. In the long run this stalemate makes Dish less attractive and they loose out. But Charlie knows better or does he? I'm glad I signed with Direct.

 

[Scott Greczkowski]

I'm sorry, but unless you have insider knowledge of the contracts related to the HD feeds of these channels, the first statement is pure speculation. And without inside knowledge of the contracts involved and the circumstances under which other providers were granted HD carriage rights, there's no way to tell if the court rightly decided the matter. You could be 100% right, but without more information, it's just your opinion.

He is on the money, the court documents were posted somewhere. (I don't have time to search at the moment)