News Corp, Time Warner Cable Reach Deal Without Blackouts; Scripps Still On Bubble
Fox viewers across the U.S. were able to get their Sugar fix without a blip now that News Corp (NYSE: NWS) and Time Warner Cable (NYSE: TWC) have managed to agree on a new deal. No details as all involved try to pretend this was never a public discussion that involves two public companies—and drew interest from elected officials and regulators.
The deal announced some 19 hours after the New Year’s Eve midnight deadline covers the Fox television stations, Fox, Fox Cable Networks and Fox’s Regional Sports Networks for TWC’s 13 million households. It also applies to Bright House Networks’ 2.4 million subs; the operator has a heavy presence in Florida, which means a particular interest in avoiding black screens when Florida meets Cincinnati in the Allstate Sugar Bowl.
TWC has yet to announce a similar agreement with Scripps Networks Interactive (NYSE: SNI) for the Food Network and Great American Country. We have confirmed that negotiations continue.
So far, TWC and BH subs have avoided the same fate as Cablevision’s 3 million households, which woke up on New Year’s Day to find that HGTV and Food were no longer available. Cablevision (NYSE: CVC) seemed to shut the door on any possible resolution, while Scripps execs say they’re willing to talk. Meanwhile, the two continue to spar in public without resuming negotiations, we have confirmed with Scripps.
The hot spotlight from U.S. Sen. John Kerry and the FCC provided an incentive for News Corp and TWC to keep the lights on. Yes, cable nets were involved but this deal primarily was about payment for a broadcast network and local stations in the post-digital transition age. HGTV and Food are pure cable programming and far less likely to draw that kind of public support for a deal. Plus, neither one has rights for a BCS game or the NFL.
News Corp was open about wanting an unlikely $1 a sub for retransmission. Did it get anything close? Go back to that word “unlikely.”
Posted In: Media & Publishing, TV, Cable & Telecom, Companies, News Corp., Scripps, Scripps Networks Interactive, bright house, time warner cable

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