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DISH Fights for a Fair Deal, Tegna Prioritizes Greed above Consumers

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DISH Network is facing contract expiration with Tegna Inc., which is demanding nearly $1 billion in fees for programming, potentially affecting viewers' access to local channels in 52 U.S. cities. DISH's group president, Brian Neylon, criticized Tegna's demands as unreasonable, asserting that such an increase would directly impact consumers. The current local programming industry has grown to over $12 billion, highlighting the financial stakes involved. DISH aims to negotiate a fair agreement to ensure customers can continue enjoying their local stations, especially during the fall sports season.

Positive
  • DISH is actively negotiating for a fair agreement with Tegna, indicating a commitment to customer interests.
  • The company's position highlights its focus on consumer affordability amidst rising programming fees.
Negative
  • Tegna's demand for a nearly $1 billion fee increase poses a risk of losing access to major local channels for DISH subscribers.
  • Potential service disruption affecting access to ABC, CBS, FOX, NBC, CW, and MTN stations across 52 cities if agreement is not reached.

ENGLEWOOD, Colo., Oct. 5, 2021 /PRNewswire/ -- As the contract expiration with DISH approaches, Tegna Inc., one of the nation's largest local station owners, is demanding a massive increase to nearly a billion dollars in fees for its programming and is using viewers as a bargaining chip in their negotiations.

In the early 2000's, broadcasters like Tegna began charging cable and satellite companies to deliver their "free" local station signals to the public. This new revenue stream for broadcasters totaled a few million dollars in 2006, but has grown to over $12 billion dollars today. Free local programming has effectively become a multi-billion-dollar industry.

"Businesses should have the opportunity to be profitable, but there's a big difference between running a profitable business and taking blatant advantage of consumers," said Brian Neylon, group president, DISH TV. "Tegna is demanding an unreasonable fee increase — an increase the programmer knows will directly impact its viewers."

DISH's agreement with Tegna Inc. could impact subscribers' access to local ABC, CBS, FOX, NBC, CW and MTN stations across 52 U.S. cities. If Tegna does not come to a fair agreement with DISH before the contract expires, it will take its channels away from subscribers across the nation.

"There is still time to reach an agreement with Tegna that is fair for all parties involved, especially our customers," said Neylon. "As many Americans look forward to tuning in to football games this fall, and stay aware of the latest health and safety news, we hope Tegna sees how important it is to come to a deal that is beneficial for all."

About DISH
DISH Network Corporation is a connectivity company. Since 1980, it has served as a disruptive force, driving innovation and value on behalf of consumers. Through its subsidiaries, the company provides television entertainment and award-winning technology to millions of customers with its satellite DISH TV and streaming SLING TV services. In 2020, the company became a nationwide U.S. wireless carrier through the acquisition of Boost Mobile. DISH continues to innovate in wireless, building the nation's first cloud-native, Open RAN-based 5G broadband network. DISH Network Corporation (NASDAQ: DISH) is a Fortune 200 company.

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SOURCE DISH Network Corporation

FAQ

What is DISH's current issue with Tegna?

DISH Network is negotiating a contract renewal with Tegna, which is demanding a nearly $1 billion fee increase for programming.

How many U.S. cities are affected by DISH's contract negotiations with Tegna?

The negotiations could impact subscribers in 52 U.S. cities.

Why is DISH critical of Tegna's fee demands?

DISH believes Tegna's fee increase is unreasonable and will unfairly affect consumers' access to local programming.

What channels could DISH subscribers lose access to if negotiations fail?

If negotiations fail, DISH subscribers could lose access to major local channels including ABC, CBS, FOX, NBC, CW, and MTN.

What is the significance of local programming fees in the industry?

Local programming fees have skyrocketed to over $12 billion, indicating a substantial revenue stream for broadcasters like Tegna.

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