As mentioned at the beginning of the year, licensing disputes are going to increase over time. This year, the largest one was between Cablevision and WABC during the highly-anticipated Academy Awards.
Today, it’s between AT&T and Rainbow Media, the company behind AMC, WEtv and IMC. Just like the Cablevision and WABC dispute, Rainbow Media has established a site (http://www.iwantmytvchannels.com/) that asks users to persuade AT&T into not dropping the channel line-up. It also allows them to look for new cable providers. A statement from Rainbow Media :
It is troubling that AT&T is threatening to yank AMC, We TV and IFC and leave their customers without the hottest show on television, AMC’s ‘Mad Men,’ just before the premiere of the new season,” Rainbow Media wrote. “AT&T is acting in an aggressive manner that puts their corporate interests ahead of their customers. We are negotiating in good faith with AT&T and are hopeful that we can reach an agreement as soon as possible so that our viewers don’t lose out.
Why AT&T is doing this: Most cable disputes resolve around pricing. And, this is no different. AMC wants more and AT&T is not willing to do give in.
The media and entertainment space has to undergo a vast structural change. As digital properties continue to expand and licensing contracts no longer reflect market conditions, these disputes are going to increase.
