YouTube TV and NBCUniversal head toward blackout standoff

NBCUniversal may soon be pulling its programming from Google’s YouTube TV. The news comes as a dispute between the companies over carriage fees and terms is ramping up.

NBC began warning customers on Thursday evening that its programming would leave the streaming platform if the companies don’t reach an agreement by Sept. 30, the date its contract is set to renew. If a blackout were to occur, popular programs such as Sunday Night Football, The Voice, NBA games, and the Oct. 4 premiere of Saturday Night Live, wouldn’t be viewable on the platform.  

However, a separate spat between YouTube TV and TelevisaUnivision comes at the same time, as both companies’ contracts are set for renewal on Sept. 30. If both networks pulled their programming, two major hispanic networks, Univision and NBCU-owned Telemundo, would no longer be accessible on the platform. 

TelevisaUnivision alleged that YouTube TV was being discriminatory in an open letter published on Sept. 24. “YouTube TV will force millions of Hispanic viewers to pay an 18% premium – a “Hispanic tax” – to maintain access to trusted Spanish-language news, sports, and entertainment,” it said.

NBC issued its own statement on the dispute. “Google, with its $3 trillion market cap, already controls what Americans see online through search and ads—now it wants to control what we watch,” NBC said, per Axios. “YouTube TV has refused the best rates and terms in the market, demanding preferential treatment and seeking an unfair advantage over competitors to dominate the video marketplace—all under the false pretense of fighting for the consumer.”

NBCUniversal has never before pulled its programming from a streaming platform.

YouTube says it’s committed to negotiating with the network, but the price is too high. “NBCUniversal is asking us to pay more than what they charge consumers for the same content on Peacock, which would mean less flexibility and higher prices for our subscribers,” it said in a Sept. 25 statement. The company announced it would reimburse customers $10 if the blackout occurs for an extended time.

While the dispute could have big implications, it seems to mark a growing trend, as digital live TV providers, like YouTube TV which has more than 10 million subscribers, continue to grow. And it’s not the first time YouTube TV has dug its heels in. In August, the company said it would drop Fox Corp. channels if an agreement wasn’t reached ahead of football season. 

The companies reached an agreement days later. “We have reached a short-term extension with Fox to prevent disruption to YouTube TV subscribers as we continue to work on a new agreement,” YouTube TV said in an Aug. 25 blog post. “We are committed to advocating on behalf of our subscribers as we work toward a fair deal and will keep you updated on our progress.”

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