What is the story about?
What's Happening?
Disney's decision to return 'Jimmy Kimmel Live!' to ABC's airwaves has sparked a conflict with local network groups, including Nexstar and Sinclair, who plan to preempt the show with alternative programming. This move is part of a broader struggle between Disney and these affiliates over programming rights, particularly concerning live sports. Sinclair and Nexstar's preemptions could breach their affiliate agreements with ABC, potentially leading to penalties or cancellation. The situation is complicated by the importance of live sports, which are crucial for broadcast television viewership. Disney's recent launch of ESPN's direct-to-consumer app provides an alternative for sports fans, potentially shifting viewership from broadcast to streaming.
Why It's Important?
The conflict between Disney and local affiliates highlights the shifting dynamics in broadcast television, where live sports play a critical role in attracting viewers. As streaming services gain popularity, traditional broadcasters face challenges in maintaining their audience base. The ability of local affiliates to preempt programming could accelerate the shift from broadcast to streaming, impacting the value of local stations. This scenario underscores the tension between maintaining traditional broadcast models and adapting to new digital consumption patterns, with significant implications for the future of television programming and media ownership.
What's Next?
The ongoing dispute may lead to further negotiations between Disney and local affiliates to find a resolution that balances programming flexibility with the need to retain live sports content. Disney's leverage with ESPN's streaming service could influence the outcome, potentially prompting local affiliates to reconsider their preemption strategy. The situation remains fluid, with potential impacts on affiliate agreements and the broader media landscape.
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