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YouTube vs. Disney: What’s behind the fight

YouTube TV customers are bracing for another frustrating weekend.

For the last week, YouTube TV’s 10 million subscribers have been denied access to ESPN, ABC and other Walt Disney Co. channels in a dispute that has swelled into one of the largest TV blackouts in a decade. Instead of turning on “College GameDay,” “Monday Night Football” or “Dancing With the Stars,” customers have been greeted with a grim message: “Disney channels are unavailable.”

The standoff began Oct. 30 when the two behemoths hit an impasse in their negotiations over a new distribution contract covering Disney’s channels and ABC stations.

Google, which owns YouTube, has rebuffed Disney’s demands for fee increases for ESPN, ABC and other channels. The Burbank entertainment giant has been seeking a revenue boost to support its content production and streaming ambitions, and help pay for ESPN’s gargantuan sports rights deals.

Talks are ongoing, but the two sides remain apart on major issues — prolonging the stalemate.

“Everyone is kind of sick of these big-time companies trying to get the best of one another,” said Nick Newton, 30, who lives near San Francisco and subscribes to YouTube TV. “The people who are suffering are the middle-class and lower-class people that just love sports … because it’s our escape from the real world.”

Both companies declined to comment for this article.

The skirmish is just the latest between YouTube and programming companies. Since August, Rupert Murdoch’s Fox Corp., Comcast’s NBCUniversal and Spanish-language broadcaster TelevisaUnivision have all complained that YouTube TV was trying to use its market muscle to squeeze them for concessions.

Here’s a look at what’s driving the escalating tensions:

Google’s growing clout in television

The struggle between Disney and YouTube reflects television’s fast-shifting dynamics.

Disney has long entered carriage negotiations with tremendous leverage, in large part because it owns ESPN, which is a must-have channel for legions of sports fans.

Programmers, including Disney, structured their distribution contracts to expire near a pivotal programming event, such as a new season of NFL football. The timing motivated both sides to quickly reach a deal rather than risk alienating customers.

But for Google’s parent, Alphabet, YouTube TV is just a sliver of their business. The tech company generated $350 billion in revenue last year, the vast majority coming from Google search and advertising. That gives YouTube a longer leash to hold out for contract terms it finds acceptable.

“This dispute is not that painful for Google,” said analyst Richard Greenfield of LightShed Partners, noting that YouTube TV could probably withstand “two weekends without college football, and two weeks without ‘Monday Night Football’ — as long as their consumers stay with them.”

Disney, however, depends on TV advertising and pay-TV distribution fees. The week-long blackout has already dampened TV ratings, which means less revenue for the company.

Consumers like YouTube TV

For decades, throngs of consumers loathed their cable company — a sentiment that Disney and other programmers were able to use in their favor in past battles. Customer defections prompted several pay-TV companies to find a compromise to restore the darkened TV channels and stanch the subscriber bleeding.

But YouTube is banking on a more loyal user base, including millions of customers who switched to the service from higher-priced legacy providers.

“I’ll stick this thing out with YouTube TV,” Newton said, adding that he hoped the dispute didn’t drag on for weeks.

“This is one of the problems facing Disney,” Greenfield said. “It’s been a noticeable change in tone from past carriage fee battles. If customer losses stay at a minimum, then Disney is going to be in a tough place.”

It boils down to power and money

YouTube TV is the fastest-growing television service in the U.S. Analysts expect that, within a couple of years, YouTube TV will have more pay-TV customers than industry leaders Spectrum and Comcast.

In the current negotiations, Google has asked Disney to agree to lower its rates when YouTube TV surpasses Comcast’s and Spectrum’s subscriber counts. Disney maintains that YouTube already pays preferred rates, in recognition of its competitive standing, and that Google is trying to drive down the value of Disney’s networks.

“YouTube TV and its owner, Google … want to use their power and extraordinary resources to eliminate competition and devalue the very content that helped them build their service,” top Disney executives wrote last Friday in an email to their staff.

People close to YouTube TV reject the characterization, saying the service has been a valuable partner by providing a strong service that brings Disney billions of dollars a year in distribution revenue.

“The bottom line is that our channels are extremely valuable, and we can only continue to program them with the sports and entertainment viewers love most if we stand our ground,” the Disney executives wrote in last week’s email. “We are asking nothing more of YouTube TV than what we have gotten from every other distributor — fair rates for our channels.”

Higher sports rights fees

A major reason Disney is asking for higher fees is because it’s grappling with a huge escalation in sports costs.

Disney is on the hook to pay $2.6 billion a year to the NBA, another $2.7 billion annually to the NFL, and $325 million a year for the rights to stream World Wrestling Entertainment. Such sports rights contracts have nearly doubled in the last decade, leading to the strain on TV broadcasters.

In addition, deep-pocketed streaming services, including Amazon, Apple and Netflix, have jumped into sports broadcasting, driving up the cost for the legacy broadcasters.

The crowded field also strains the wallets of sports fans, and appears to be adding to the fatigue over the YouTube TV-Disney fight.

Newton wrote in a recent Twitter post that he was spending $400 a month for his various internet, phone and TV services, including Disney+ and NFL Sunday Ticket, which is distributed by YouTube TV.

“I’m already on all the major subscriptions to watch football these days,” Newton, a third-generation San Francisco 49ers fan, said. “You need Netflix. You need Peacock, you need Amazon Prime and the list goes on and on. I’m at the point where I’m not paying for anything else.”

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Why news outlets struggle with credibility when their owners fund Trump’s White House project

President Donald Trump’s razing of the White House’s East Wing to build a ballroom has put some news organizations following the story in an awkward position, with corporate owners among the contributors to the project — and their reporters covering it vigorously.

Comcast, which owns NBC News and MSNBC, has faced on-air criticism from some of the liberal cable channel’s personalities for its donation. Amazon, whose founder Jeff Bezos owns The Washington Post, is another donor. The newspaper editorialized in favor of Trump’s project, pointing out the Bezos connection a day later after critics noted its omission.

It’s not the first time since Trump regained the presidency that interests of journalists at outlets that are a small part of a corporate titan’s portfolio have clashed with owners. Both the Walt Disney Co. and Paramount have settled lawsuits with Trump rather than defend ABC News and CBS News in court.

“This is Trump’s Washington,” said Chuck Todd, former NBC “Meet the Press” host. “None of this helps the reputations of the news organizations that these companies own, because it compromises everybody.”

Companies haven’t said how much they donated, or why

None of the individuals and corporations identified by the White House as donors has publicly said how much was given, although a $22 million Google donation was revealed in a court filing. Comcast would not say Friday why it gave, although some MSNBC commentators have sought to fill in the blanks.

MSNBC’s Stephanie Ruhle said the donations should be a concern to Americans, “because there ain’t no company out there writing a check just for good will.”

“Those public-facing companies should know that there’s a cost in terms of their reputations with the American people,” Rachel Maddow said on her show this week, specifically citing Comcast. “There may be a cost to their bottom line when they do things against American values, against the public interest because they want to please Trump or buy him off or profit somehow from his authoritarian overthrow of our democracy.”

NBC’s “Nightly News” led its Oct. 22 broadcast with a story on the East Wing demolition, which reporter Gabe Gutierrez said was paid for by private donors, “among them Comcast, NBC’s parent company.”

“Nightly News” spent a total of five minutes on the story that week, half the time of ABC’s “World News Tonight,” though NBC pre-empted its Tuesday newscast for NBA coverage, said Andrew Tyndall, head of ADT Research. There’s no evidence that Comcast tried to influence NBC’s coverage in any way; Todd said the corporation’s leaders have no history of doing that. A Comcast spokeswoman had no comment.

Todd spoke out against his bosses at NBC News in the past, but said he doubted he would have done so in this case, in part because Comcast hasn’t said why the contribution was made. “You could make the defense that it is contributing to the United States” by renovating the White House, he said.

More troubling, he said, is the perception that Comcast CEO Brian Roberts had to do it to curry favor with the Trump administration. Trump, in a Truth Social post in April, called Comcast and Roberts “a disgrace to the integrity of Broadcasting!!!” The president cited the company’s ownership of MSNBC and NBC News.

Roberts may need their help. Stories this week suggested Comcast might be interested in buying all or part of Warner Bros. Discovery, a deal that would require government approval.

White House cannot be ‘a museum to the past’

The Post’s editorial last weekend was eye-opening, even for a section that has taken a conservative turn following Bezos’ direction that it concentrate on defending personal liberties and the free market. The Oct. 25 editorial was unsigned, which indicates that it is the newspaper’s official position, and was titled “In Defense of the White House ballroom.”

The Post said the ballroom is a necessary addition and although Trump is pursuing it “in the most jarring manner possible,” it would not have gotten done in his term if he went through a traditional approval process.

“The White House cannot simply be a museum to the past,” the Post wrote. “Like America, it must evolve with the times to maintain its greatness. Strong leaders reject calcification. In that way, Trump’s undertaking is a shot across the bow at NIMBYs everywhere.”

In sharing a copy of the editorial on social media, White House press secretary Karoline Leavitt wrote that it was the “first dose of common sense I’ve seen from the legacy media on this story.”

The New York Times, by contrast, has not taken an editorial stand either for or against the project. It has run a handful of opinion columns: Ross Douthat called Trump’s move necessary considering potential red tape, while Maureen Dowd said it was an “unsanctioned, ahistoric, abominable destruction of the East Wing.”

In a social media post later Saturday, Columbia University journalism professor Bill Grueskin noted the absence of any mention of Bezos in the Post editorial” and said he wrote to a Post spokeswoman about it. In a “stealth edit” that Grueskin said didn’t include any explanation, a paragraph was added the next day about the private donors, including Amazon. “Amazon founder Jeff Bezos owns The Post,” the newspaper said.

The Post had no comment on the issue, spokeswoman Olivia Petersen said on Sunday.

In a story this past week, NPR reported that the ballroom editorial was one of three that the Post had written in the previous two weeks on a matter in which Bezos had a financial or corporate interest without noting his personal stakes.

In a public appearance last December, Bezos acknowledged that he was a “terrible owner” for the Post from the point of view of appearances of conflict. “A pure newspaper owner who only owned a newspaper and did nothing else would probably be, from that point of view, a much better owner,” the Amazon founder said.

Grueskin, in an interview, said Bezos had every right as an owner to influence the Post’s editorial policy. But he said it was important for readers to know his involvement in the East Wing story. They may reject the editorial because of the conflict, he said, or conclude that “the editorial is so well-argued, I put a lot of credibility into what I just read.”

Bauder writes for the Associated Press.

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Comcast reveals interest in Warner Bros. studios and streamer

NBCUniversal owner Comcast is indeed interested in some of Warner Bros. Discovery’s assets.

On a Thursday call with analysts to discuss third-quarter earnings, Comcast President Mike Cavanagh suggested the Philadelphia giant might bid for certain Warner assets, primarily the Warner Bros. film and television studios and its streaming service HBO Max.

Sources had previously said Comcast was angling to join the Warner Bros. Discovery auction after that company’s board formally opened the process last week. The Warner board has unanimously rejected three unsolicited bids from David Ellison’s Paramount, which has offered $58 billion for all of Warner Bros. Discovery.

Comcast isn’t looking to acquire the entire company or Warner’s large portfolio of cable channels that include CNN, TBS and Food Network. Instead, Cavanagh suggested that Comcast’s interest would be more narrow.

He noted that NBCUniversal and Warner Bros. have compatible businesses. Comcast wants to grow its studios business and its struggling streaming service, Peacock, which lost $217 million during the quarter.

“You should expect us to look at things that are trading in our space … It’s our job to try to figure out if there are ways to add value,” Cavanagh told analysts.

But he added a note of caution, saying the company didn’t feel that a merger was “necessary.”

“The bar is very high for us to pursue any [merger] transactions,” he said.

The Warner Bros. Discovery auction comes amid deep turmoil in the industry. Traditional entertainment companies, including Warner and NBCUniversal, have long relied heavily on cable programming fees to boost profit but consumers have been scaling back on pay-TV subscriptions amid the move to streaming.

To address that challenge, Comcast is spinning off its cable channels, including CNBC, MSNBC, USA and Golf Channel, into a separately traded company called Versant. That process is expected to be complete this year.

As part of the transition, the liberal-leaning MSNBC is changing its name to MS Now and dropping the peacock from its network logo, reflecting its pending exit from NBC, which will remain part of Comcast.

Cavanagh suggested that Comcast would not double down in a declining cable channel business that it was already exiting.

But Warner has other compelling businesses, including HBO and its Warner Bros. film and television studio. The Warner Bros. studio has released a string of movie blockbusters this year, including “Superman” and “A Minecraft Movie.”

Warner and NBCUniversal are investing in their respective streaming services but both lag Netflix, YouTube and Walt Disney Co. in terms of subscribers and engagement. Peacock has 41 million subscribers; the service has lost billions of dollars since Comcast launched it five years ago.

To shore up Peacock and the NBC broadcast network, Comcast has doubled down on sports, including striking a $27-billion, 10-year deal for NBA basketball, a contract that kicked in this month with the new season. (Nielsen ratings for the inaugural NBA game on NBC last week were strong — nearly 5 million viewers).

Most analysts believe that Ellison’s Paramount is in the best position to win Warner Bros. Discovery. They point to the Ellison family’s determination, wealth and political connections. Tech titan Larry Ellison, who is backing his son’s bid, is the second-richest man in the world behind Elon Musk, and President Trump views the elder Ellison as a good friend.

In contrast, Trump has displayed a dim view of Comcast Chairman and Chief Executive Brian Roberts, in large part, because of Comcast’s ownership of MSNBC, which Trump has accused of being an arm of the Democratic National Committee.

The tension has led observers to conclude that Comcast would face a stormy regulatory review process with Trump overseeing the Department of Justice, which would likely perform an anti-trust review of any major transaction for Warner Bros. Discovery.

Concerns about Comcast’s ability to get deals through the Trump administration may be overblown, Cavanagh said.

“I think more things are viable than maybe some of the public commentary [suggests],” Cavanagh said.

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NBC News lays off 150 employees amid ratings declines and cable spinoffs

Termination notices went out to 150 NBC News Group employees Wednesday as the financial health of the traditional television business continues to erode.

The cuts have been anticipated for months as NBC is seeing declines in TV ratings and ad revenue that are not being fully offset by a growing digital business.

Audience migration to streaming platforms has put pressure on legacy outlets across the media industry, leading to layoffs and cost-cutting.

A representative for the NBC News Group, which produces “Today,” “NBC Nightly News with Tom Llamas” and “Dateline,” declined to comment on the layoffs.

The cuts are also attributed to the spinoff of cable networks MSNBC and CNBC, according to a person briefed on the plans who was not authorized to comment. As of last week, NBC News no longer shares resources with the two outlets, which will become part of a new company called Versant. Some NBC News veterans have decided to join MSNBC, which will be renamed MS NOW.

Versant is the new stand-alone home for most of Comcast’s cable networks, including USA Network, the Golf Channel, CNBC and MSNBC. Comcast is spinning off the channels because it believes the mature outlets face a bleak future due to pay TV cord-cutting and are an albatross weighing down its stock price.

Some of the job losses are expected to be mitigated by a reallocation of resources aimed at bolstering the division’s digital operations. The employees affected by the cuts have been encouraged to apply for 140 jobs currently open across the NBC News Group.

The cuts amount to 2% of the NBC News Group, which also includes local TV stations owned by NBC and Telemundo.

A recent memo from NBC News Group Chair Cesar Conde said the division is launching a subscription streaming service later this year, although details have not been made public. The company already has NBC News Now, a free ad-supported streaming channel.

More cuts across the TV news business are expected through the end of the year. A significant reduction in staffing is expected at CBS News following the merger of parent Paramount with Skydance Media.

ABC News was hit hard by a 6% staff reduction across the ABC TV network enacted in March by parent Walt Disney Co. Those cuts followed a layoff of 40 news staffers in October 2024.

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Seth Meyers has triggered Trump without saying a word

Trump addressed a new, “sick rumor” about “Late Night with Seth Meyers” that wasn’t a rumor at all. It was another screed against late-night TV.

As the GOP breaks the rules to placate their leader and the Dems play by rules that no longer exist, late-night television is one of the few public platforms left that’s bold enough to challenge President Trump’s policy on a daily basis.

From Jimmy Kimmel to “The Daily Show” to Stephen Colbert (whose contract won’t be renewed by the nervous folks at Paramount), calling out the dangerous actions of the bully in the White House has by default become a public service of late-night TV and its political satirists.

Early Wednesday morning, Trump attempted to spark a new battle against his joke-slinging foes when he took to his own social media site, Truth Social, to address a “sick rumor” that wasn’t a rumor at all.

“Fake News NBC extended the contract of one of the least talented Late Night television hosts out there, Seth Meyers,” Trump wrote. “He has no Ratings, Talent, or Intelligence, and the Personality of an insecure child. So, why would Fake News NBC extend this dope’s contract. I don’t know, but I’ll definitely be finding out!!!”

It will not take Sherlock Holmes, Stephen Miller or even a DOGE flunky to ferret out the truth because the contract was revealed back in May … of 2024. It was hardly a covert operation when NBC extended “Late Night With Seth Meyers” through 2028. “We’re so happy to continue this legacy franchise with Seth at the helm and watch him continue to elevate the success of ‘Late Night,’” announced NBCUniversal Entertainment late-night programming EVP Katie Hockmeyer in a statement.

Mystery solved.

Trump has appeared more triggered than usual over the past month or two, perhaps due to quantifiable rumors surrounding his relationship with the late convicted child sex trafficker Jeffery Epstein, slipping poll numbers or ongoing queries about his health. The internet can’t stop speculating about what appear to be bruises on the backs of his hands, slathered in orange concealer. Is he sick and getting IV transfusions? Or is he punching his computer screen each time California Gov. Gavin Newsom out-trolls him?

Meyers is a frequent critic of the current White House administration, and the president has had it out for the comedian ever since Meyers played news anchor on SNL’s “Weekend Update” and Trump played a successful businessman on “The Apprentice.” It was 2011 when Meyers, then head writer of the sketch show, hosted the White House Correspondents’ Dinner.

“Donald Trump has been saying that he will run for president as a Republican, which is surprising, since I just assumed he was running as a joke,” Meyers said. Seated in the audience was a seething Donald Trump.

“Late Night With Seth Meyers” recently celebrated its 10th year on air, outlasting “The Late Show With Stephen Colbert.” Though Trump reportedly had no direct hand in the cancellation of Colbert’s show, Paramount made the move to end the show after Trump sued its news magazine “60 Minutes” over an interview with former Vice President Kamala Harris. The network paid a $16 million settlement to the president. Paramount at the time also happened to be seeking federal approval for a multibillion-dollar sale to Hollywood studio Skydance, which was approved shortly after the settlement.

Last fall, Trump posted on Truth Social that NBC’s parent company, Comcast, should “pay a BIG price” for shows like Meyers’, which he called “political hits.”

“How bad is Seth Meyers on NBC, a ‘network’ run by a truly bad group of people — Remember, they also run MSDNC,” Trump wrote. “I got stuck watching Marble Mouth Meyers the other night, the first time in months, and every time I watch this moron I feel an obligation to say how dumb and untalented he is, merely a slot filler for the Scum that runs Comcast.”

Meyers has yet to comment on the recent attention paid to his show by the White House, but what’s the rush? The host has another four years, according to his contract. Trump also has until 2028, according to that other contract, the Constitution. It’s anyone’s guess which agreement will hold.

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MSNBC will change its name after Comcast split

MSNBC is being renamed after parent company Comcast spins the cable news channel off into a separate corporate entity later this year.

MSNBC will be known as MS NOW once it becomes part of Versant, a new company, and is no longer associated with NBC News, staffers were told Monday.

“Morning Joe” co-host Joe Scarborough informed viewers of the pending change on his program.

In a memo obtained by the Times, Versant Chief Executive Mark Lazarus indicated it was Comcast’s decision to remove NBC and its famous peacock logo from the MSNBC name.

“The peacock is synonymous with NBCUniversal, and it is a symbol they have decided to keep within the NBCU family,” Lazarus wrote. “This gives us the opportunity to chart our own path forward, create distinct brand identities, and establish an independent news organization following the spin.”

One person familiar with the name change discussions said the re-branding will be backed by a significant marketing campaign.

The MS NOW acronym will convey that the channel has a point of view, as the acronym stands for “my source,” news, opinion and world.

MSNBC will no longer share the resources of NBC News. The network is building its own news organization from scratch, with some NBC News journalists such as Jacob Soboroff choosing to join the cable operation.

MSNBC will also be leaving NBC’s Rockefeller Plaza headquarters for another Manhattan location.

Key MSNBC personalities such as Scarborough, Rachel Maddow, Ari Melber and Lawrence O’Donnell will remain a part of the channel after the spinoff.

Versant is the new stand-alone home for nearly all of the current parent company Comcast’s cable networks, which includes USA Network, the Golf Channel, CNBC and MSNBC. Comcast is spinning off the cable networks because it believes the mature outlets face a bleak future due to pay TV cord-cutting and are an albatross weighing down its stock price.

MSNBC, the second most watched cable news channel behind leader Fox News, has seen its reach into pay TV homes decline by 33% over the last 10 years.

MSNBC was founded in 1996 as a joint venture between NBC News and Microsoft. A name change was considered when Microsoft divested its stake in 2005, but NBC stuck with the moniker that had become entrenched in the media culture.

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Warner Bros. Discovery’s cable channels hit with layoffs

Warner Bros. Discovery is the latest media company to shed employees from its cable TV channels, with several dozen positions jettisoned Wednesday.

The layoffs, confirmed by an executive not authorized to comment publicly, are aimed at improving efficiency across the company as cable TV revenues sink because of cord-cutting.

The moves at Warner Bros. Discovery come two days after the Walt Disney Co. implemented a bloodletting across its film and television marketing teams, television publicity, casting and development as well as corporate operations.

The cuts at Disney numbered in the hundreds. The figure for Warner Bros. Discovery is much smaller than that, though an exact number was not disclosed.

Warner Bros. Discovery’s movie and TV production studios and streaming operation, soon to go back to its earlier name, HBO Max, will not be hit by the cutbacks.

The cuts come as Warner Bros. Discovery is said to be pondering a possible spinoff of its declining cable TV assets, which include its Turner channels, Discovery Networks, HGTV and Food Network, similar to what Comcast is doing with its NBCUniversal cable outlets (with the exception of Bravo).

Comcast is putting MSNBC, CNBC, the Golf Channel, USA Network and other outlets into a new company called Versant, separating the mature businesses from the rest of the company as it focuses on streaming.

Warner Bros. Discovery recently reorganized into two business units. The entertainment giant last year took a $9.1-billion writedown to reflect the declining value of its TV networks.

The cuts at Warner Bros. Discovery come just a day after a rare shareholder rebuke of its executive pay packages, a sign of growing unhappiness with the company’s financial performance.

A majority of Warner Bros. Discovery shareholders voted against the 2024 compensation package given to Chief Executive David Zaslav and other executives at the company’s recent annual meeting, according to a regulatory filing.

Almost 60% of the votes cast came in against the 2024 executive pay package at the company, according to a regulatory filing Tuesday. The vote is nonbinding, and thus symbolic.

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