Optimum Announces Update on Carriage of MSG Networks
Optimum announces the removal of MSG Networks from its TV lineups following failed carriage agreement negotiations that expired on December 31, 2024. The dispute centers on MSG's demands for high programming fees and requirement to make their channels available to most subscribers regardless of viewing preferences. Optimum offered to absorb the price increases if MSG would allow more flexible packaging options, but MSG refused multiple offers.
The company emphasizes that Regional Sports Networks viewership is increasingly fragmented across streaming platforms, yet MSG maintains an outdated model demanding higher fees. Optimum is providing customers with alternative viewing options and assistance through their customer service channels and website.
Optimum annuncia la rimozione di MSG Networks dalle sue offerte televisive a seguito di trattative fallite per un accordo di trasmissione che è scaduto il 31 dicembre 2024. La disputa ruota attorno alle richieste di MSG per elevati costi di programmazione e la necessità di rendere i loro canali disponibili alla maggior parte degli abbonati, indipendentemente dalle preferenze di visione. Optimum ha offerto di assorbire gli aumenti di prezzo se MSG avesse consentito opzioni di pacchettizzazione più flessibili, ma MSG ha rifiutato più volte le offerte.
L'azienda sottolinea che la visione delle Reti Sportive Regionali è sempre più frammentata tra le piattaforme di streaming, tuttavia MSG mantiene un modello obsoleto che richiede costi più elevati. Optimum sta fornendo ai clienti alternative per la visione e assistenza tramite i canali di servizio clienti e il sito web.
Optimum anuncia la eliminación de MSG Networks de sus ofertas de televisión tras fallar las negociaciones para un acuerdo de transmisión que expiró el 31 de diciembre de 2024. La disputa se centra en las demandas de MSG por altas tarifas de programación y la exigencia de que sus canales estén disponibles para la mayoría de los suscriptores sin importar sus preferencias de visualización. Optimum ofreció absorber los aumentos de precios si MSG permitía opciones de empaquetado más flexibles, pero MSG rechazó múltiples ofertas.
La empresa enfatiza que la audiencia de las Redes Deportivas Regionales es cada vez más fragmentada entre las plataformas de streaming; sin embargo, MSG mantiene un modelo anticuado que exige tarifas más altas. Optimum está proporcionando a los clientes opciones de visualización alternativas y asistencia a través de sus canales de servicio al cliente y su sitio web.
Optimum는 2024년 12월 31일에 만료된 방송 계약 협상 실패로 인해 MSG Networks를 TV 라인업에서 제거한다고 발표했습니다. 이 분쟁은 MSG가 높은 프로그램 비용을 요구하고 시청 선호도와 관계없이 대부분의 가입자에게 채널을 제공하도록 요구하는 데 중점을 두고 있습니다. Optimum은 MSG가 보다 유연한 패키징 옵션을 허용하면 가격 인상을 흡수하겠다고 제안했으나, MSG는 여러 번의 제안을 거부했습니다.
회사는 지역 스포츠 네트워크 시청률이 스트리밍 플랫폼 전반에 걸쳐 점점 더 분산되고 있다고 강조하지만, MSG는 더 높은 요금을 요구하는 구식 모델을 유지하고 있습니다. Optimum은 고객에게 대안적인 시청 옵션과 고객 서비스 채널 및 웹사이트를 통해 지원을 제공하고 있습니다.
Optimum annonce le retrait de MSG Networks de ses offres de télévision à la suite d'échecs dans les négociations d'accord de diffusion qui ont expiré le 31 décembre 2024. Le différend concerne les demandes de MSG pour des frais de programmation élevés et l'exigence de rendre leurs chaînes disponibles à la majorité des abonnés, indépendamment de leurs préférences de visionnage. Optimum a proposé d'absorber les augmentations de prix si MSG acceptait des options de conditionnement plus flexibles, mais MSG a refusé plusieurs offres.
La société souligne que l'audience des réseaux sportifs régionaux devient de plus en plus fragmentée entre les plateformes de streaming, tandis que MSG maintient un modèle obsolète qui exige des frais plus élevés. Optimum propose aux clients des options de visionnage alternatives et de l'assistance via ses canaux de service client et son site Web.
Optimum kündigt die Entfernung von MSG Networks aus seinem TV-Angebot nach gescheiterten Verhandlungen über einen Verbreitungsvertrag an, der am 31. Dezember 2024 abgelaufen ist. Der Streit dreht sich um die Forderungen von MSG nach hohen Programmgebühren und der Anforderung, ihre Kanäle den meisten Abonnenten unabhängig von ihren Sehgewohnheiten zur Verfügung zu stellen. Optimum bot an, die Preissteigerungen zu übernehmen, wenn MSG flexibelere Paketoptionen zulassen würde, aber MSG lehnte mehrere Angebote ab.
Das Unternehmen betont, dass die Zuschauerzahlen der regionalen Sportnetzwerke zunehmend fragmentiert sind und sich über Streaming-Plattformen verteilen, während MSG ein veraltetes Modell beibehält, das höhere Gebühren verlangt. Optimum bietet seinen Kunden alternative Sehoptionen und Unterstützung über seine Kundenservicekanäle und die Website an.
- None.
- Loss of MSG Networks content from Optimum TV lineup
- Failed negotiations leading to service disruption for sports content viewers
- Potential customer dissatisfaction and churn risk due to content removal
Insights
The carriage dispute between Optimum and MSG Networks represents a critical inflection point in the evolving sports media landscape. The breakdown centers on two key issues: MSG's demand for higher carriage fees and their insistence on broad distribution across Optimum's subscriber base. This conflict exemplifies the growing tension between traditional cable distribution models and the shift toward streaming services.
The financial implications are significant. MSG Networks' stance could potentially impact Altice USA's (ATUS) margins if they had agreed to the increased fees, as sports programming typically represents one of the highest content costs for cable operators. The dispute highlights the unsustainability of the current regional sports network (RSN) business model, especially given declining cable subscriptions and increasing direct-to-consumer options.
For ATUS investors, this development could actually be positive in the short term, as rejecting MSG's demands may help control programming costs. However, there's a risk of subscriber churn among sports fans, particularly in the New York market where MSG carries valuable local sports content including Knicks and Rangers games.
This carriage dispute exemplifies a fundamental shift in the pay-TV ecosystem. Optimum's stance against MSG's traditional bundling approach aligns with broader industry trends toward unbundled, consumer-choice models. The company's willingness to challenge an established RSN signals a strategic pivot that could reshape how sports content is distributed and monetized.
The timing is particularly strategic, occurring when direct-to-consumer alternatives are readily available. This positions ATUS to potentially negotiate more favorable terms in future content deals while demonstrating fiscal discipline to investors. The move could serve as a template for other cable operators facing similar pressures from RSNs, potentially catalyzing broader industry changes in content distribution models.
Background:
Optimum and MSG Networks’ carriage agreement expired at midnight on December 31, 2024.
For weeks, the companies negotiated for continued carriage on Optimum systems. During the negotiations, MSG Networks demanded exorbitant programming fees and required Optimum to make MSG channels available to the vast majority of video subscribers, whether they wanted the content or not. This “all or nothing” approach could raise cable bills while forcing the majority of our customers to pay for content they do not watch.
Optimum cares about its customers and worked on their behalf to reach a deal that is fair and brings our customers choice and value. Unfortunately, MSG Networks would not budge, and their content has been removed from Optimum TV lineups.
Optimum issues the following statement:
“At Optimum, we have a clear mission: provide the programming that our customers want and give it to them at an affordable price. The problem: MSG Networks demanded that we pay an exorbitant amount in fees to be able to carry its content AND that customers who don’t want the content – who are the majority – have to pay for it anyway. Now more than ever, especially in this economy, it is unfair for MSG Networks to demand more money from their Optimum viewers, especially when there are ways for fans to get games directly from MSG through other direct-to-consumer options.
Despite this, Optimum offered to absorb their egregious price demands if we could package MSG Networks in a way that would give more flexibility and control to our customers, so that fans could continue to watch and pay for their content while non-viewers would not be forced to pay for what they don’t watch. MSG Networks said no and refused multiple offers from us to reach a deal.
It is no secret that viewership for Regional Sports Networks has become increasingly fragmented across countless streaming platforms and services. Yet MSG Networks continues to squeeze its viewers for more money to watch their content, refusing to evolve or deviate from a broken model that is outdated based on the evolution of the entertainment industry, is anti-consumer, and unsustainable in today’s programming landscape.
Optimum wants to partner with programmers who put customer choice and flexibility at the center of every decision. We are disappointed in MSG Networks, but most importantly, sorry that our customers have to experience this change, which is why Optimum is working directly with customers to provide alternate viewing options to ensure that they never have to miss a game.
Customers can call us at 888-347-4784, chat with us or visit www.optimum.com/MSG to learn more about the solutions and options we have for them so they can continue watching their favorite teams.
Customers can also learn more about our modernized video solutions by clicking here.”
About Optimum
Optimum is a brand of Altice USA, one of the largest broadband communications and video services providers in
View source version on businesswire.com: https://www.businesswire.com/news/home/20241231499598/en/
Media:
Stephen Stokes
(917) 553-0667
stephen.stokes@optimum.com
Source: Altice USA
FAQ
When did MSG Networks get removed from Optimum TV?
What caused the dispute between Optimum and MSG Networks?
How can Optimum customers watch MSG Networks content after the removal?
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