Nexstar and DIRECTV Strike a Deal Ending DIRECTV's Blackout

By
Bill McColl
Bill McColl
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Bill McColl has 25+ years of experience as a senior producer and writer for TV, radio, and digital media leading teams of anchors, reporters, and editors in creating news broadcasts, covering some of the most notable news stories of the time.

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Published September 18, 2023
AT&T Inc. and DirecTV

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Key Takeaways

  • Nexstar and DIRECTV reached a distribution agreement, ending DIRECTV's blackout of Nexstar's TV stations and NewsNation cable news network.
  • The two sides finalized the deal after striking a temporary settlement Sunday.
  • The news came just a week after Disney and Charter ended their dispute over cable fees.

Nexstar Media Group (NXST) and DIRECTV reached a multi-year distribution agreement that will end DIRECTV’s more than 75-day blackout of Nexstar’s 176 local television stations and NewsNation cable news network.

The two sides finalized the deal after announcing a temporary settlement yesterday morning ahead of Sunday’s National Football League games. Terms of the package were not disclosed.

The news came just a week after The Walt Disney Company (DIS) and Charter Communications (CHTR) settled their dispute over fees that led Disney to cut off service to Charter’s Spectrum cable system. Charter had argued that the current cable TV model is broken and needs to be overhauled because customers were paying too much for content they didn’t want.

DIRECTV CEO Bill Morrow pointed to that trend on Monday, telling subscribers, “Unfortunately, over the past decade-plus, access to your programming has become a battleground for networks and stations to try to drive up higher rates.”?

Shares of Nexstar Media Group lost ground and dipped 1.3% on Monday following the news, but were still above the two-and-a-half-year low they hit earlier in the month.?

NXST

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  1. Nexstar Media Group. "DIRECTV and Nexstar Media Group, Inc., Reach New Multi-Year Distribution Agreement."

  2. Nexstar Media Group. "DIRECTV and Nexstar Media Group, Inc., Agree to Temporarily Return TV Stations and Cable News Network NewsNation to DIRECTV, DIRECTV STREAM, and U-verse."

  3. Charter Communications. "The Walt Disney Company and Charter Communications Announce Transformative Agreement for Distribution of Disney’s Linear Networks and Direct-to-Consumer Services."

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