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11/22/2024 06:48:49 am

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CBS Goes Dark On Dish Network After Negotiations Fail

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(Photo : Reuters) Dish Network has announced Sling TV, a new Web-TV service with 10 channels for $20 per month.

After both sides could not come to an agreement, CBS has officially pulled network programming from Dish Network.

Not all programming will go, but a significant portion will be unavailable for Dish subscribers. Sixteen major cities - including New York City, Chicago and Los Angeles - will not have CBS.

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The dispute started due to CBS not wanting to make another short term deal for the same amount, looking to significantly increase the price for programming. Time Warner Cable also had issues paying for CBS' increase for programming earlier this year, resulting in a blackout.

Dish has been rather weary of programming expenses this year, not being able to come to a deal with CNN and Cartoon Network. The satellite TV provider also had issue with AMC's price hike for programming in 2012, resulting in a short blackout.

It is unclear exactly how much CBS wants from Dish Network and how close the two companies are to reaching a deal. Dish says it is "optimistic that the channels will return quickly as both sides are continuing to work tonight to finalize an agreement."

Currently, the blackout only affects two million of the 14 million subscribers for Dish, but if a deal does not come soon, it could start hitting more cities and customers.

Programming deals are currently undisclosed for all parties. The FCC tried to disclose some of Comcast's programming deals, as part of the $45 billion merger, but various programmers (including CBS) went against the FCC decision and got it scrapped.

Dish was one of the companies on the other side of the FCC decision that wanted to see Comcast's programming prices. Since Comcast providers the largest TV service in the country, it is likely the cable TV service gets better deals than satellite TV rivals.

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