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Satellite TV provider DirecTV has filed a complaint with the US Federal Communications Commission. Walt Disney The company said on Sunday that it is not negotiating in good faith and engaging in anti-competitive behavior.
In the complaint, DirecTV said Disney demanded unreasonable terms for renewing its distribution deal, including bundling and penetration requirements that a federal court recently ruled were unconstitutional.
DirecTV also said Disney insists on a “fat package” of channels, forcing the carrier to offer less popular programming, while Disney offers consumers cheaper, “skinnier” packages.
A Disney spokeswoman responded by saying the company was continuing to negotiate with DirecTV and urged them to finalize a deal that would prioritize customers.
“We are continuing our negotiations with DirecTV to restore access to our content as soon as possible,” the spokesperson said in an emailed statement to Reuters.
The dispute has already resulted in more than 11 million DirecTV subscribers losing access to Disney-owned channels, including ESPN, ahead of the National Football League season.
The showdown comes amid a broader debate over the future of packaged programming in the streaming era, with DirecTV trying to offer more flexible, lower-cost packages without ESPN and Disney arguing to protect its flagship networks.
