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DirecTV and News Corp. reach deal on Fox channels

Crisis averted. The El Segundo satellite provider was apparently seeking an all-inclusive deal that included Fox News, FX, and the sports channels Prime Ticket and Fox Sports West (a big deal this time of year). From the LAT:

Terms of the deal were not disclosed. DirecTV had complained that Fox was seeking an increase of 40%. Fox called that figure ridiculous. Cable networks and broadcast channels are typically sold on a per-subscriber basis. According to SNL Kagan, FX currently gets about 40 cents per subscriber, per month. Fox Sports West gets almost $2.70 per subscriber, per month. Sports channels are usually more expensive because of their rights fee expenses.

As is becoming common in these skirmishes, Fox took out ads that warned of a shutoff and suggesting that DirecTV customers start searching for alternatives. It's rare that the screens actually go black - just too much to lose on both sides.


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