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Disney urges Charter customers to use Hulu amid cable TV blackout

September 5, 2023
in Business
Reading Time: 11 mins read
A A
Disney urges Charter customers to use Hulu amid cable TV blackout
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The Walt Disney Company urged Charter Communications customers to cut the cord in favor of its own Hulu + Live TV service as the two warring sides dig in while some 15 million people are left without ABC, ESPN, and other Mouse House channels.

“Despite the ongoing dispute, consumers have many other choices — such as Hulu + Live TV — that allow them to enjoy the great programming for which Disney Entertainment is known,” the company said in a statement.

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“There’s no contract, no cable box, and no wait time to subscribe,” Disney said in the blog post.

It sent a similar message across the company’s social media channels.

Charter, the second largest cable TV company in the country, owns Spectrum TV, which has roughly 14.7 million subscribers in major markets including New York, Los Angeles, Houston and Dallas.


The Walt Disney Company is urging Charter Spectrum subscribers to cut the cord and opt instead for Hulu + Live TV. Disney CEO Robert Iger is pictured above on July 12.
Getty Images

More than 25 Disney channels were cut from the cable TV provider in a dispute over carriage fees, the amount Charter must pay the Bob Iger-run company.

The impasse comes during a busy time on the sports calendar, which includes the start of the college football season, the US Open tennis tournament, and the imminent start to the National Football League season.

Since Spectrum services the Billie Jean King Tennis Center during the US Open, ESPN broadcasts also went out in Arthur Ashe Stadium, the media workroom and all around the grounds on Friday, when the blackout took affect.


Disney and Charter, the parent company of Spectrum, are locked in a dispute over carriage fees.
Disney and Charter, the parent company of Spectrum, are locked in a dispute over carriage fees.
Christopher Sadowski

Hulu, the streaming service, is owned by The Walt Disney Company.
Hulu, the streaming service, is owned by The Walt Disney Company.
SOPA Images/LightRocket via Getty Images

ABC-owned stations — including ABC 7 New York — and its affiliates and channels like Freeform, FX and National Geographic have also been pulled.

The cable operator said it had been paying about $2.2 billion in annual programming costs to Disney, excluding the impact of advertising revenue for both parties.

The company vowed to keep negotiating in good faith in a message to viewers on the blacked-out channels.

“We offered Disney a fair deal, yet they are demanding an excessive increase,” Spectrum said.

“They also want to limit our ability to provide greater customer choice in programming packages forcing you to take and pay for channels you may not want.


Nearly 15 million cable subscribers have been blacked out from seeing Disney-owned channels including ESPN and ABC.
Nearly 15 million cable subscribers have been blacked out from seeing Disney-owned channels including ESPN and ABC.
REUTERS

“We are very disappointed with their position, which has negatively impacted our customers.”

Disney, meanwhile, told The Post that it’s been in ongoing discussions with Charter Communications for some time, but have yet to reach a “new market-based agreement.”

The company, which has seen its stock recently hit nine-year lows partly because of the disruption to its traditional TV business, did not reveal how much it wants Charter to pay.

“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,” it said.

With Post Wires

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