On Sunday, YouTube TV formally informed customers that it is issuing a $20 credit due to the ongoing carriage dispute with Disney, which has kept the ESPN family of networks off the platform since Halloween.
In an email sent to subscribers, YouTube TV stated, “Over the next few days, you will receive a follow-up email with instructions on how to redeem your $20 credit for YouTube TV. Once redeemed, this will be applied to your next bill.” The company has previously said that any extended disruption of service would result in this $20 rebate.
On Saturday, The Athletic reported that customers would receive the credit if YouTube TV and Disney failed to reach a deal by Sunday. With customers now being informed of the forthcoming rebate, a resolution in the next few days seems unlikely.
As a result, for the second week in a row, YouTube TV customers will be unable to watch Monday Night Football on ESPN. This week’s matchup features the division-leading Philadelphia Eagles facing the Green Bay Packers — one of the most important games of the NFL season so far.
According to a separate report by The Athletic late last week, the two sides remain “far apart” on the price YouTube TV will pay Disney per subscriber. YouTube TV, currently the fourth-largest pay TV distributor in the U.S., wants to pay rates comparable to those of the largest distributors.
Projections indicate that YouTube TV could become the largest pay TV distributor in the country as early as next year. Based on previously reported figures, the ESPN family of networks generally commands approximately $15 per month per subscriber from distributors.
With the networks remaining unavailable on YouTube TV, Disney is losing about $5 million each day. As of Sunday, the company has sacrificed roughly $50 million in potential revenue by not reaching a deal.
Conversely, YouTube TV is also experiencing subscriber losses each day Disney-owned networks remain off the platform. The $20 credit is clearly a strategic move to help mitigate some of these losses and retain customers during the blackout.
https://awfulannouncing.com/disney/youtube-tv-20-credit-signals-deal-unlikely-monday-night-football.html