DirecTV Offers Customers Option to ‘Opt Out’ of Local Channels
By Movieguide® Contributor
DirecTV is giving customers the option to cut local stations from their cable packages.
“Consumers have been voting with their wallets for years that pay TV — as currently constructed — is too expensive and restricts their choices,” Rob Thun, DirecTV’s chief content officer, said in a statement. “Our new ‘No Locals’ package enables customers to take an important step forward in culling out certain types of content they may no longer care to watch and better balance the price they are willing to pay.”
Customers can “opt out” of receiving local channels “for as long as they want,” which will reduce the overall cost of the cable package by $12 a month or $144 a year.
DirecTV explained that part of this new package deal is due to network programming quality.
“National broadcast network content has suffered a more than 40% decline in viewership since 2015, according to Nielsen Media Research,” the service stated. “The major studios that own the national broadcast networks keep shifting top series producers and most buzzed about scripted shows that had bolstered local stations’ primetime lineups over to their streaming services instead.”
It continued, “That trend continues to diminish the quantity and quality of scripted entertainment on these same local stations, as the major broadcast networks’ collective share of Emmy nominations has plummeted 55% since 2014.”
Deadline reported that this move is also “likely to stem from DirecTV’s retransmission fight with Tegna” and NextStar, explaining that DirecTV “suggested offering local stations on an a la carte basis” during negotiations.
Movieguide® previously reported:
Nexstar and DirecTV have reached a carrier agreement, ending a months-long blackout that restricted access to over 170 local stations.
“On Sept. 17, 2023, we began to return Nexstar-owned stations and NewsNation to DIRECTV, DIRECTV STREAM and U-verse customers, and have since finalized a new, multi year agreement with Nexstar,” DirecTV CEO Bill Morrow said. “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.”
“As our customers, we recognize that while you may be able to access some programming over-the-air or on streaming services during these periods, this is not the experience you expect,” he continued.
During the blackout, DirecTV customers have been unable to access 170 local station affiliates to networks like ABC, CBS, Fox, NBC and CW. Los Angeles, Chicago, Philadelphia and Denver were among the areas most affected by the dispute, which began on July 6.
The blackout was initiated as negotiations between the companies broke down over disagreements about pricing. Nexstar demanded higher rates from DirecTV for its services, while DirecTV wished to keep itself from raising customer pricing.
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