The American Television Alliance (ATVA) has issued a statement in support of DirecTV and its FCC complaint against Disney. DirecTV filed the complaint earlier this week, citing anticompetitive behavior.
The complaint revolves around an accusation that Disney expected DirecTV to agree to “waive all claims that Disney’s behavior is anti-competitive” as part of the carriage negotiations. According to the Alliance, this behavior is in breach of the FCC’s good faith mandates.
“The FCC recently clarified that the one thing you cannot do in retransmission consent negotiations is prevent the other side from filing FCC complaints. This makes sense – without such a rule, broadcasters would never be held accountable for any anticompetitive activity. Yet this is exactly what Disney has done here,” said Michelle Bowling, spokesperson for the American Television Alliance.
The Alliance also echoed DirecTV’s claim that Disney is forcing live TV providers to bundle unpopular networks with popular ones. This is in spite of attempting to unbundle its own sports channels through its Venu Sports joint venture with Fox and Warner Bros. Discovery.
“That’s wrong – and the courts and regulators should do something about it,” Bowling added.
A preliminary injunction was recently issued against Venu Sports, blocking the service from launching, amid concerns that the service could be anticompetitive. Disney, Fox and Warner Bros. Discovery have since filed an appeal against the decision.
In reality, it is not surprising that the ATVA has backed DirecTV in this dispute. In addition to satellite and telephone companies, the Alliance boasts cable companies as members, including DirecTV.
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