Disney’s spat with Google’s YouTube TV over a new content distribution contract is costing the entertainment giant $4.3 million a day in lost revenue, Morgan Stanley estimates.
That’s $30 million a week as the blackout of channels including ABC and ESPN stretches into its 12th day, Variety reports, though the analysts expect Disney and Google to reach a resolution by the end of the week. The dispute is also costing Google — Variety reports that a Drive Research survey of 1,100 US consumers found 24 percent canceled or planned to cancel their subscriptions.
More than 20 Disney-owned channels went dark on YouTube TV after their contract expired at 11:59 PM ET on October 30th. While Google accuses Disney of pulling its channels from YouTube TV as a “negotiating tactic,” and says its terms would rise prices for YouTube TV customers, Disney says Google is “refusing to pay fair rates” for its content. Google has been giving $20 credits to its subscribers during the blackout, but it remains to be seen which will end first: the Disney-Google blackout or the government shutdown.
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