ESPN started to quarrel back after Verizon (NASDAQ:VZ) unveiled its plans to provide a new sort of FiOS TV package, which divides the channels into cheaper and semi-a la carte bundle.
The favorite channels that your cable providers provide are under several contracts from the channel broadcasters, and in the meanwhile, the contracts will have a number of stipulations. For example, the powerhouse channels will come only with other channels that are less in popularity. These sorts of stipulations will help the other channels to gain some reputations and some revenues too. Channels that have highly powerful networks such as ESPN, will come with the most widely-distributed packages, similar to the things I mentioned earlier.
Walt Disney’s massive sports networks responded to the Verizon’s new bundle plan, in a statement as,
Verizon’s new bundles “would not be authorized by our existing agreements. Among other issues, our contracts clearly provide that neither ESPN nor ESPN2 may be distributed in a separate sports package.”
Verizon comes with a noteworthy plans that seems to be sidestepping from such stipulations and gives a new set of experiences to its programming partners. The new plan with customizable option seems to be the violation of rules and guidelines of ESPN and the base plan of the FiOS packages doesn’t come with any sports channel.
On new plan, the customer gets base channels, broadband internet and also additional two add-on bundles for $65 per month. The ESPN channel gets separated with a sports bundle, that can be included in any two bundles or else the user can get the channel for $10 per month.
Tami Erwin FiOS president mentioned that the plans are designed in, such as way that, they “expects to be in a position of compliance”. In the meantime, the company has used a public announcement techniques to force the programming partners to agree to the agreement.
Check all FiOS TV Packages from the official site.