Dish Network has been in many disputes with TV programmers in the last year, including the nearly year-long battle with HBO. Why is Dish so confrontational with programmers and is it hurting it more than its more compliant competitors?
Chapter 1: Dispute between programmers, pay TV increase (0:30)
License fee disputes between TV programmers pay TV operators seems to be happening a lot more these days. For example, this week, Comcast, Dish Network, and DirecTV removed Altitude sports. However, no operator seems more aggressive with TV programmers than Dish Network.
Chapter 2: Why Dish is so ready to fight (2:12)
To understand why Dish is adopting such an aggressive stance, we must look at how much pay-tv margins have eroded over the last ten years. There are two significant reasons why Dish Network is much less able to withstand such extreme margin erosion.
Chapter 3: Are license disputes hurting Dish? (4:20)
It is logical to assume that all the contract disputes are hurting Dish’s business. However, comparing it to satellite competitor DirecTV, which has had a much less fractious relationship with programmers, Dish seems to be holding up well.
For the future, expect license fee disputes to become far more common and widespread.