DirecTV and Disney have hit an impasse in their negotiations. Consequently, channels such as ESPN, Disney Channel, FX, and others abruptly went offline starting Sunday evening.

The two companies were attempting to negotiate a new agreement to continue broadcasting Disney’s channels on DirecTV’s satellite and streaming services, including U-Verse TV, following the expiration of a five-year contract on September 1.

With no agreement reached, Disney’s content went dark on DirecTV, leaving over 11 million subscribers unable to access ESPN and ESPN2 right at the kickoff of the college and professional football seasons. Channels affected also include ESPN Deportes, ESPNU, ESPN News, ACC Network, SEC Network, Disney Channel, Disney Junior, Disney XD, FX, FX Movie Channel, FXX, Freeform, and National Geographic channels.

For sports enthusiasts, the timing is particularly harsh; ESPN is showing the U.S. Open tennis tournament this week and has significant football events lined up, including a game featuring Boston College against Florida State on Monday evening. Other matchups include Texas facing Michigan on September 7 and ESPN Monday Night Football starting on September 9 with the New York Jets playing the San Francisco 49ers.

The USC vs. LSU game, which aired at 7:30 p.m. ET on Sunday, was also not available, affecting local Disney-owned stations, including ABC7 in Chicago, Los Angeles, New York, Philadelphia, San Francisco, and Raleigh-Durham, among others.

For DirecTV customers who watch ABC channels owned by Disney, the upcoming presidential debate on September 10 is also at risk.

Disney-DirecTV Dispute: ESPN and Disney Channel Go Dark

In a statement to YSL News, Disney Entertainment co-chairs Dana Walden and Alan Bergman along with ESPN chairman Jimmy Pitaro expressed concern over the situation for DirecTV subscribers.

“We are prepared to offer flexible terms as we have with other distributors, but we cannot agree to a deal that undervalues our extensive portfolio of channels and programming,” the statement indicated. “We make significant investments to provide top-rated brands in entertainment, news, and sports, which is what our audience expects and deserves. We encourage DirecTV to prioritize their customers by finalizing an agreement that will promptly restore our programming.”

Rob Thun, Chief Content Officer at DirecTV, revealed that Disney insisted on including a clause in the agreement that would eliminate any future legal claims against their competitive practices, indicating potential concerns around antitrust issues.

Recently, a federal judge paused the debut of a new streaming platform named Venu, a partnership among Disney, Fox, and Warner Bros. Discovery, which could raise antitrust alarms due to its potential impact on the sports streaming landscape.

DirecTV is advocating for content providers like Disney to collaborate with them in offering more compact and customized package options instead of large bundles filled with unwanted channels, as noted by Thun.

Thun commented, “Disney creates fantasies, but we are in the real world where actions have consequences. Their primary focus seems to be maximizing profits and control, often at customers’ expense, making it challenging for viewers to find affordable options for the shows and sports they enjoy.”

DirecTV-Disney Tensions Grow Over the Week

As the negotiations dragged on, both DirecTV and Disney made moves to sway public opinion in their favor.

DirecTV customers received warnings about losing ESPN channels and were directed to visit KeepMyESPN.com for further details.

On that site, Disney emphasized their commitment to collaborating with various distribution partners to keep their networks available, citing a history of effective negotiations.

Conversely, DirecTV launched UnbundledDisney.com, promoting its mission to provide viewers with greater choice and value alongside existing streaming services.

The future of this dispute remains uncertain. A similar disagreement occurred last year between Disney and Charter Communications, resulting in a nearly two-week blackout.

As of Sunday evening, Thun shared that “there are currently no discussions taking place.” with YSL News.

Keep up with Mike Snider on X and Threads: @mikesnider & mikegsnider.