The main update is to vaguely outline the company’s preferred contract terms. Disney claims to have offered YouTube TV a deal that “would cost less overall than the terms of our recently expired license,” with programming packages “that would provide tremendous flexibility for YouTube TV and greater choice and value for its customers.” The deal contained “fair terms that are in-line with the more than 500 other distributors that have renewed their agreements since last summer,” per the memo. “Despite all this, YouTube TV continues to insist on receiving preferential terms that are below market and has made few concessions,” the execs wrote.
YouTube so far hasn’t commented on Disney’s representation of the argument, nor revealed what its counteroffers are. Earlier this week, the company publicly declined to reinstate ABC for Election Day only, saying that all the programming could come back or none of it would. Yesterday, Variety reported that 24 percent of respondents to a survey of YouTube TV subscribers said they have already canceled or intend to cancel their YouTube TV because the service “no longer delivers the core content they signed up for.” A whopping 83 percent said they are “likely” to cancel if the dispute is not resolved soon. In response, a spokesperson for YouTube TV told the outlet, “We’re not familiar with this firm and can’t speak to their credibility or methodology. What we can say is that while subscriber churn is always regrettable, it’s been manageable and does not align with the findings of this survey.”
In their memo, the Disney execs said, “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. It goes without saying that the reason so many consumers value our programming above others is because we invest in the best talent, creators and content in the world, and we cannot allow anyone to undercut our ability to do so.”
