The Walt Disney Company is suing Sling TV, a subsidiary of Dish Network. Disney alleges that new short-term packages that include its programming were used without permission. Sling unveiled these new “passes” earlier this month. They allow viewers access to Sling TV’s full bundle for a day, weekend, or week. The new mini-bundles start at $4.99. This is a fraction of the general starting price of $45.99 a month for a regular Sling subscription. The new mini-bundles were introduced as college football and the NFL seasons get underway, as people look at ways to watch these sports.
“Sling TV’s new offerings, which they made available without our knowledge or consent, violate the terms of our existing license agreement,” a Disney spokesperson said in a statement. “We have asked the court to require Dish to comply with our deal when it distributes our programming.”
In response to the lawsuit that was filed on Tuesday night, Sling said it is “meritless” and the company will “vigorously defend our right to bring customers a viewing experience that fits their lives, on their schedule and on their terms.”
The lawsuit was filed in the U.S. District Court for the Southern District of New York. In it, Disney alleges that Sling didn’t consult the company about this new initiative. These packages could potentially change the TV landscape as consumers could have an easy on and off ramp to access programming. There are other implications this new approach to packaging broadcasting could have with awards shows like the Oscars or other entertainment or news programming.
The new mini-bundles have the potential to change decades of precedent in the industry. In general, 2-year contracts have been the rule. The streaming era has begun to impact those long-term contracts. However, in general, the shortest contracts still last at least a month.
A statement released by Sling says that the company is “proud” of launching its new passes, which are “designed to redefine streaming and give viewers more flexibility, more choice and more control over how they watch live TV.”
Sling continues to be a disruptor in the television industry. Approximately a decade ago, Sling introduced Hopper. This was a DVR that automatically skipped ads. It was popular, but it also led to multiple media companies suing Sling over this new technology. This eventually led to a settlement in 2016.
