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News Corp.'s Chase Carey expects Fox signals to be pulled from Time Warner Cable

In an internal memo to staff, News Corp. President and Chief Operating Officer Chase Carey said he did  not think an agreement would be reached with Time Warner Cable regarding carrying Fox's local TV stations and several cable networks before the deadline of the current deal expired at midnight Thursday.

CHASECAREY That means the signals for local Fox TV stations in cities where Time Warner Cable is the distributor will go dark. Other channels that Fox owns that are part of this spat include FX and some regional sports channels including Prime Ticket and Fox Sports West in Los Angeles.

The two sides have been fighting for several months over the fee Fox wants from Time Warner Cable to keep carrying its local TV stations, including KTTV Los Angeles and WNYW New York. Fox has sought $1 per subscriber, per month, and Time Warner Cable so far has countered with about 30 cents per subscriber.

Carey wrote:

"At this time, it looks like we will not reach an agreement and our channels may very well go off the air in Time Warner Cable systems at midnight tomorrow, December 31. We deeply regret that millions of Fox customers will be deprived of our programming, but we need to receive fair compensation from Time Warner Cable to go forward with them. Some may ask why Fox isn’t providing an extension while negotiations continue – the fact is that we’ve been trying since the summer to negotiate a fair deal and that further extensions simply extend the period of time that Time Warner profits from our marquee programming without fairly compensating Fox for it."

Carey went on to say that Fox's "requested compensation is about equal to what Time Warner Cable pays TNT, a network with a fraction of the ratings and original programming of Fox, or about a quarter of what they pay ESPN, a network we again dwarf in ratings. Time Warner Cable will claim they cannot afford the rates we are requesting and try to blame us for rate increases to their customers."

Of course, Carey is a tough negotiator, and this is just the latest in a series of back-and-forth jabs between the two companies. Late Tuesday, Time Warner Cable Chief Executive Glenn Britt told Sen. John Kerry (D-Mass.), who previously asked both sides to settle their differences so viewers wouldn't lose their favorite shows, that he was willing to extend the current deal and enter binding arbitration. Neither of those options appeal to Fox.

-- Joe Flint

Related posts:

Disney offers support to Fox in battle with Time Warner Cable

Carmen Electra caught up in cable feud

John Kerry weighs in on Fox-Time Warner Cable spat

Broadcasters' tough talk with cable is not without risks

News Corp.'s Chase Carey ready for battle with Time Warner Cable 

Time Warner Cable takes aim at programmers

Photo: Chase Carey. Credit: News Corp.


Comments () | Archives (71)

Who cares?

Typical conservative (GOP) agenda (Fox) let's get richer by screwing others. So long Fox!!

I heard that Rupert Murdoch owns News Corp AND Direct TV. It is in his best interest to get people to switch from TWC to Direct TV. If this is indeed true, why doesn't the FCC step in to protect the public from another greedy businessman?

And once again, the consumer gets screwed.

Either way, WE, the customer, are going to end up paying more at the end of this debacle.

Guess I won't be watching Fox shows anymore.

Has Fox even considered that this will severely cut into their viewership numbers? Methinks this just might come back to bite them in the rear view mirror.

One can but hope.


Didn't they make the same threat last year? ....Nothing happened

this is total absurd of fox to demand a fee to have a cable company carry their channel. i hope they loose millions in advertising dollars when no one is watching their shows.

Screw Fox and their GOP buddies. Besides, I am sure their ratings will be affected by this.

I only watch SOA on FX, but they are on hiatus anyway.

Isn't the use of public airways a privilege granted by the american people? The FCC has become an impotent lapdog of big media, and we the people, as usual, are the losers.
Years ago, these Networks were freely given spectrum worth billions of dollars, and have long since abandoned any rules that require them to support local programming, or culture or to educate our children. Let Fox go dark, and the other networks as well. Just like everything else in this country, soon only the rich will be able to watch TV.
If we are going to be charged for watching television, then get the government out of the TV business, so we can all have fun watching Dexter murder and torture people, in the name of capitalism and bundled cable. What a joke.

When all is said and done, I - like a few million others - might just decide that I can live without Fox.

Are you listening Murdoch?...

What makes Mr. Chase think that viewers will rise up against Time Warner to demand access to Fox offerings? There is so much otherwise available to watch, including online access, that Mr. Chase is taking the fast track to degrading the value of his network when networks have already been dethroned. I don't like monopolies any more than the next guy, and Time Warner is not without its warts, but viewers like their TV cheap and easy. He who delivers the goods will win.

I hope the channels go dark and Fox goes the way of the dodo. People shouldn't watch any Fox-owned shows, and that includes Sports.

Hey! Now you have the oppurtunity to get some fresh outdoor air!

YAY! Don't care if I don't get Fox anymore. There is other crap that can be watched on television.

I see two titans doing battle. Neither winner will be good for me and my family.

But I do have choices. I can go to satellite, perhaps even ATT (the bastards) or add an over the air antenna.

You guys fight it out. I will do what's best for me. I have no dog in this fight.

I think it is crazy that Fox and Time Warner are even having this debate! Surely TW could send Fox a lousy dollar of the $78 I give them each month for the continuation of one of the better networks offered on their lineup. I have a lot of channels but 2/3 of them seem to be "filler". And why should Fox make everyone else pay for their high fluting strategies for viewership? Why should everyone else pay for them to have their shows like American Idol, and So you think you can dance and such? I am about done with Fox AND Time Warner!!!!


Rupert Murdoch no longer owns DirecTV. When he did there were safeguards against him favoring his own distributor vs. other distributors.


Goodbye Fox and your hateful Fox News. Time Warner, if you do settle your differernces, I request you block all Fox channels from my cable. If Fox wants to come into my house, they will have to pay me for that right.

If Fox gets dropped from Time Warner, then my bill should go down a little.

Why's everyone laughing?

I have a lot of alternatives. It happens I don't now, and never have, viewed anything on a Fox network. So, please, let Fox go dark on my cable. It's of no consequence. But my answer would be the same for networks I do watch. I have alternatives, with more to watch than I have time for. Blu-Ray, internet content, DVD, VOD, iTunes video/movies -- I'll make up for any loss. In fact, if networks get militant en masse I can do without all of them, and if networks go dark on cable to the point where cable customers cancel their accounts, and both sides of this dysfunctional ecosystem collapse we'll get replacements in a hurry. Get this, guys: WE DON'T NEED YOU and you can easily overstep your perceived market power and drive your customers away, permanently.

I hope these two groups work things out quickly! The last thing this elitist needs is all these viewers leaving their houses to block up my freeways, standing in my lines or intellectually one upping me in conversation now that they've found something else to focus on.

what about the simpsons? ;(

Blech, I'm nixing my cable box entirely. Sorry, TWC. I haven't watched TV in 3 weeks, and frankly, I don't care about AI, House, or anything else on Fox. In fact, if losing Fox entirely will decrease my cable bill, then maybe I will stay with TWC.

Yeah, I agree with the above commenters regarding the backlash of this Fox strategy. In the end, this is going to cost them a lot.

Buh-bye, Fox. Don't let the door hit you in the backside on the way out.

All right-if TWC is willing to go to binding arbitration-then Fox doesn't have a leg to stand on-the public airwaves belong to the public and I'm tired of being screwed by both sides! If Congress doesn't get involved now-recall the lot of them!

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