CBS and Time Warner Cable End Contract Dispute

CBS and Time Warner Cable ended their protracted contract dispute with CBS winning not only a significant financial increase for its programming, but also its stake in the digital future.

The agreement between the two sides restored the CBS network and its related channels, including Showtime, to millions of cable subscribers largely in three major cities: New York, Los Angeles and Dallas. The outcome underscored the leverage that the owners of important television content, especially sports like NFL football, retain over distributors like cable systems. The looming National Football League season, which starts this week, includes key games every week on CBS. The two sides did not release any specific information on the terms of the agreement. Federal Communications Commission Chairwoman Mignon Clyburn said, “I am pleased CBS and Time Warner Cable have resolved their retransmission consent negotiations, which for too long have deprived millions of consumers of access to CBS programming. At the end of the day, media companies should accept shared responsibility for putting their audience’s interests above other interests and do all they can to avoid these kinds of disputes in the future.”