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DirecTV Sues Broadcasters Over Illegally Conspiring To Raise OTA TV Costs

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DirecTV has launched a lawsuit that claims three companies are illegally conspiring to charge customers more for access to over-the-air live TV channels. The companies in question are Nexstar Media Group, Mission Broadcasting, and White Knight Broadcasting.

Of the three, Nexstar is likely to be the most recognized by consumers considering that’s the company that currently owns and/or operates a number of local CBS and The CW affiliates, as well as NewsNation and Antenna TV, among others.

Regardless of their size or where they operate, Mission and White Knight were previously owned by Nexstar, and all three broadcasters are now facing a legal challenge (PDF) by DirecTV which accuses them of illegally conspiring “to increase content costs for free over-the-air TV.”

According to DirecTV, Nexstar Media Group violated federal antitrust law “by engaging in an illegal conspiracy with Mission Broadcasting and White Knight Broadcasting to manipulate, raise and fix the prices of so-called retransmission consent fees that DIRECTV must pay to offer ABC, CBS, NBC, and FOX local stations”.

Specifically, the ‘conspiracy suit’ announcement details how 27 local stations, collectively owned or operated by the three broadcasters, have remained unavailable “to several hundreds of thousands of DirecTV, DirecTV Stream, and U-verse consumers.” Again, according to DirecTV, consumers in the affected 25 cities haven’t had access to these channels since Oct. 7, 2022.

DirecTV appears to be taking particular aim at Nexstar here, accusing the company of being somewhat of a ringleader. DirecTV not only suggests that Mission and White Knight are “unlawfully coordinating” with Nexstar, but that the two smaller broadcasters have also “effectively relinquished decision-making authority to Nexstar”.

This collective approach and strategy, according to DirecTV, has resulted in the three broadcasters sharing confidential rates with each other, aligning blackout periods, and coordinating to raise prices.

The intention of the lawsuit is to now legally stop the three broadcasters from colluding as DirecTV alleges.

John Finn
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John Finn

By John Finn

John Finn is the Founder and Editor of Streaming Better, a platform created in 2019 to help consumers navigate the complicated live TV streaming and subscription service market.

John has been covering technology for various online publications since 2014. After originally covering the wider tech industry as a writer and editor, John now spends his time focusing on the emerging video-streaming market, including live TV streaming, SVOD, AVOD, FAST, and TVOD services.

In a bid to keep up to date on the industry, John actively subscribes to multiple streaming services at the same time. However, John continues to advocate that the best approach for consumers is to rotate between streaming services as needed.

A Psychology graduate from England, who now lives in the US, John previously worked in the aviation industry as an airline reviewer. While reviewing airlines isn't quite the same as reviewing devices and streaming services, John brings the same analytical eye to all of his reviews and industry analysis, along with a special emphasis on what's best for the consumer.

Connect with John
Email: john@streamingbetter.com
X: @J_Finns
Website: JohnFinn.net

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