Satellite TV provider, Dish Networks have recently revealed plans to drop the AMC channel line-up which has not been well received by subscribers. These kind of ‘negotiations’ do tend to occur when a contract is due for renewal, but this looks like it is more than just hot air.
So why would Dish want to lose all the great content that AMC deliver such as top shows, The Walking Dead, Mad Men and Breaking Bad, and in the process risk alienating or even losing subscribers?
Well, the answer appears to be that Dish think that AMC’s content is not worth the high price they are demanding, especially as Netflix are streaming the same content on their low-cost streaming service, and making the content less attractive.
Speaking at an investor discussion, the chairman of Dish Network Charlie Ergen confirmed they cannot close the deal as AMC want more cash, and Dish don’t want to play ball. He said, “One of the things that programmers have done is they’ve devalued their programming content by making it available in multiple outlets.”
He has a point, AMC allow their content to be viewed on a number of content delivery platforms, and then demand more from Dish. Subscribers do not want a rise in subscription costs to watch the same content, Ergen continued, “Our customers are not really saying ‘we want to pay more money, they’re saying ‘we want more flexibility in our programming and we don’t want to pay more.”
It seems that AMC may be heading for a fall, after all, will any other network be willing to pay high prices for content that can be accessed in a number of other places?
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