It has been an extended, merciless January for Knicks and Rangers followers — should you’re an Optimum subscriber, that’s.
Whereas each groups have notched spectacular wins at Madison Sq. Backyard this month, greater than 1 million Optimum clients have been blacked out for three-plus weeks due to a cussed standoff between MSG Networks and cable large Altice USA.
Either side on Friday continued to commerce blame within the so-called carriage dispute, signaling that the blackout could not finish anytime quickly. Followers will proceed to be actual the losers within the recreation — pressured to both wait it out, swap to a different cable service if they’ll, or shell out for a dear streaming app.
“This can end today if Altice is willing to agree to binding arbitration with a neutral third party, and the games customers are missing will be back on Optimum immediately,” Knicks and Rangers proprietor James Dolan, who additionally owns MSG Networks, stated in a Friday assertion to The Put up.
That was after Marc Sirota, the chief monetary officer for Optimum’s proprietor Altice USA, claimed in an interview that Dolan final week had nixed a proposed settlement that might have seen his cable channel return to Optimum subscribers after the 2 sides got here shut on phrases.
“I thought we were making pretty constructive progress with MSG leadership,” the Altice USA CFO instructed The Put up.
When requested to supply the phrases of the nearly-agreed-upon deal, Altice declined.
“I did get on a call and was told that Jim was in the room and he said he was here to shut this down, which I expressed that we were disappointed to hear that,” Sirota stated, including: “We thought we were making constructive progress.”
On Friday, MSG officers denied this in an announcement to The Put up, saying an settlement was by no means shut. What actually occurred, in line with an MSG spokesperson, was that Dolan “jumped on the phone and was reiterating our position – which they swatted away.”
MSG on Friday stated its place referred to as for both a renewal of the contract on the very same phrases because the earlier settlement, deal on the identical phrases MSG had lately agreed with one other main operator; or a renewal accepting the identical phrases and situations that Altice lately concluded with the YES Community.
MSG Networks, which airs the Knicks, Rangers, Islanders, Devils and Buffalo Sabres ,has been blacked out for round 1 million households within the New York tri-state space since Jan. 1 after the Optimum carriage settlement expired.
An MSG supply stated the 2 sides “were much closer” to a deal on Dec. 31 than they’re right now however that Altice USA “pulled the last proposal off the table” and “refused an extension” in order that talks may proceed whereas the video games continued to be broadcast for subscribers.
Particulars of the earlier contract have remained murky. Optimum has accused MSG Networks of demanding “exorbitant programming fees” and overly broad distribution that might inflate its clients’ cable payments. MSG Networks has countered that it’s asking for even lower than what it obtained paid final yr.
Final week, Optimum issued a press launch demanding that MSG Networks subject a $125 million refund to its cable TV clients, citing an “estimated $10 per month, per subscriber MSG Networks announced its sports programming is worth.”
Optimum added that MSG Networks successfully tripled followers’ prices to $30 monthly by means of MSG Plus and the Gotham Sports activities apps.
An MSG spokesperson referred to as the claims “BS,” countering that Optimum owed its TV clients $5 in January for shedding entry to channels that they beforehand had in December.
Justin Brannan, a metropolis council member who represents components of Brooklyn, is backing MSG Networks, demanding that Altice USA undergo binding arbitration.
“Once again, NYC sports fans are getting a raw deal. This ongoing dispute is robbing fans of watching the Knicks, Rangers, Devils & yes even the Islanders,” Brannan wrote on X earlier this week.”
“These 2 major corporations must put the fans & the public first for once,” Brannan added. “Get serious about arbitration and while that process moves forward, MSG Networks should be put back on air immediately.”
In the meantime, Altice claims that Dolan is making an attempt to tug a quick one on Knicks and Rangers followers by deliberately killing any prospect of a deal with a view to steer clients towards the $30-a-month Gotham app whereas making an attempt to line his pockets by tanking MSG Networks out of business.
Altice executives say Dolan and the Backyard are partaking in a public relations train by feigning outrage over the blackouts when in actuality the chairman stands to personally make a $200 million revenue if MSG Networks goes bankrupt — thus wiping out $900 million in debt off Sphere’s steadiness sheet.
However a supply near the scenario disputed this, telling The Put up: “If we didn’t want to get a deal done why would we offer going to a third party to get this, putting our fate in a neutral third party.”
“Why would we be working so hard to get a deal done if we just want to get our customers to buy the Gotham app?” the supply stated.
When requested to handle MSG’s declare that Altice is dodging arbitration, an Altice spokesperson instructed The Put up: “Jim shut down negotiations on Friday and then they issued a PR on Tuesday about arbitration. It’s a stunt.”
“We remain open to negotiations with them that reflect the current RSN (regional sports network) landscape and ensures fans get the content and non viewers don’t have to pay,” the spokesperson instructed The Put up.
An Altice spokesperson instructed The Put up that the corporate has been in contact with greater than 100,000 clients and that customer support representatives “have been giving them options,” together with serving to to defray the price of buying the Gotham app.
“Our technicians are in the field helping customers set up with our newest stream” in order that they’ll purchase Gotham app at a “more affordable” worth, in line with Altice.
Altice produced a website that features provides and directions for Optimum subscribers who want to buy the Gotham app at a lowered worth by means of Optimum’s web service.
Further Reporting by Josh Kosman
