Why DISH Network Corporation Sank 18% in 2017

What happened DISH Network Corporation (NASDAQ: DISH) disappointed investors last year, with the satellite-television provider falling 18%, according to data from S&P Global Market Intelligence, as the company continues to wrestle with decreased demand for large subscription-TV packages. So what DISH Network is affected by the same issues that plague the entire subscription-based television industry: revenue pressures from cord-cutting as more are forgoing service in favor of streaming substitutes. As of the last reported quarter, DISH Network reported a total of 13.35 million subscribers in the United States, including the 145,000 subscribers in Puerto Rico and U.S. Virgin Islands the company temporarily removed because of Hurricane Maria. In last-year's corresponding quarter, that figure was 13.64 million, a 2.1% year-over-year decline. However, this headline number most likely understates the loss in the company's higher-margin traditional television packages. DISH includes subscriptions of its over-the-top SlingTV service in its total television subscription figure. Analysts heavily watch DISH Network's revenue per user for cues on SlingTV's growth because its base package of $20 per month is significantly lower than DISH's traditional television packages. In the third quarter, DISH Networks' revenue per user dropped from $89.44 to $87.23, a 2.5% decrease. The combination of fewer subscribers and lower revenue per user have resulted in four consecutive quarters of year-over-year revenue declines. In fiscal 2017, through three reported quarters, DISH has recorded 4.8% less revenue than in the prior year. Image source: Getty Images Now what It's likely DISH will continue to face a tough business environment. Marketing analytics firm eMarketer predicts 22 million U.S. adults will have "cut the cord," choosing to go without traditional television, a 33% increase from last year's 16.7 million. This disproportionately affects DISH Network, Continue Reading

Dish Network, CBS reach deal after millions miss Chargers-Cowboys game

Dish Network and CBS reached multi-year agreement late Thursday night, hours after nearly three million customers were unable to watch the Los Angeles Chargers-Dallas Cowboys game.The blackout impacted the home cities of CBS’ Thanksgiving Day game, along with other major markets like New York, Chicago, Philadelphia, San Francisco, Atlanta, and Boston. Terms of the agreement that ended the two-day blackout, an increasing occurrence between networks and cable/satellite operators, were not disclosed. “We are pleased we have reached a deal with Dish, who recognizes the value that the number one Network brings to viewers in these markets,” said Ray Hopkins, president of television networks distribution for CBS in a statement. “Dish customers will continue to get CBS’ must-have content, while we are also able to achieve our short and long-term economic and strategic goals.”Warren Schlichting, Dish Network's executive vice president of marketing, said the company was "grateful to our customers for their patience this holiday week as months of work has resulted in a deal."The blackout drew outrage on social media, especially among Cowboys and Chargers fans who were unable to watch the Chargers' 28-6 victory. Many turned to CBS’ streaming service to view the games.  More: Cowboys get stuffed, sliced by Chargers in third straight loss More: Jerry Jones looked miserable during Cowboys loss More: Fans are labeling Dak Prescott a 'bust' The deal between the CBS-owned affiliates and Dish Network also includes CBS Sports Network, POP and Smithsonian Channel, according to the news release. Beyond the nation’s biggest media markets, the blackout also impacted Dish Network customers in Seattle, Tampa, Detroit, Minneapolis, Denver, Sacramento, Pittsburgh. and Baltimore.  PHOTOS: Best of the Thanksgiving Day gamesThe financial disagreement that caused the Continue Reading

Dish Network, trade groups and others oppose Sinclair Tribune deal

By David Shepardson WASHINGTON (Reuters) - Dish Network Corp has joined forces with conservative media, trade and liberal advocacy groups in urging U.S. authorities to reject Sinclair Broadcast Group's proposed $3.9 billion acquisition of Tribune Media. Opponents of the deal, according to petitions filed with the Federal Communications Commission (FCC) made public on Tuesday, say it will raise prices while narrowing content and news viewing choices for millions of Americans. Some petitions say the proposed acquisition or merger will also give Sinclair too much influence over local news content. Sinclair, which already owns 173 U.S. television stations, announced plans in May to acquire Tribune's 42 TV stations in 33 markets as well as cable network WGN America and digital multicast network Antenna TV, extending its reach to 72 percent of American households. Sinclair would control far more stations than any of its competitors if the Tribune deal goes forward. In April, the company also announced plans to acquire 18 stations in five states owned and operated by Bonten Media Group. "A free and diverse press, a bedrock principle of American democracy, will be crippled by this proposed merger," conservative media company Newsmax Group said in one filing with the FCC that echoed the sentiments of opponents across the political spectrum. One group, Free Press, said Sinclair forces its stations to "air pro-Trump propaganda and then seeks favors from the Trump administration." The Hunt Valley, Maryland-based company has drawn criticism for favoring conservative political candidates. Sinclair in April hired a former Trump campaign adviser, Boris Epshteyn, as a commentator after he briefly served in the Trump White House. The Tribune merger "would turn Sinclair into the nation’s largest broadcast conglomerate and lead to higher prices, more station blackouts, less choice, and less local news for millions of consumers," Dish said in its filing with the Continue Reading

Dish Network drops CNN, Cartoon Network over Turner flap

ENGLEWOOD, Colo. — Channels such as Cartoon Network and CNN are no longer part of Dish's programming lineup as a deadline has passed for the satellite TV provider and Turner Broadcasting to renew their distribution agreement. Dish Network Corp. said Tuesday that Turner refused to extend the overall deal. But Turner— a division of Time Warner Inc. — said in a statement that it has worked for months to come up with a fair agreement and that the two sides have been unable to reach a deal. Other Turner channels removed from Dish's programming include Boomerang, Adult Swim, HLN, truTV, CNN en Espanol and Turner Classic Movies. Englewood, Colorado-based Dish said that it is still committed to reaching an agreement with Turner that will allow the channels to return to its lineup quickly. For its part, Turner said it is hopeful Dish will return to the negotiating table and that a deal will be completed. Shares of Dish Network rose $1.47, or 2.53 percent, to $60.17 in morning trading, while shares of Time Warner Inc. slipped 11 cents to $77.58. Continue Reading

U of L, UK blacked out on DISH Network for Friday’s games

Louisvillians who subscribe to DISH Network may not be able to watch the Cards and Cats in the NCAA Tournament on Friday.In early March, Hearst Television Inc. — the parent company of WLKY, the CBS affiliate in Louisville — blacked out DISH Network in 26 markets across 30 states as a result of ongoing contract negotiations. An agreement had not been reached as of Thursday morning.Both Louisville and Kentucky are scheduled to play their Round of 64 games in Indianapolis on CBS Friday — U of L against Jacksonville State at 2:45 p.m. and UK against Northern Kentucky at 9:40 p.m. All viewers can stream games on CBS for free at ncaa.com/march-madness-live/watch and on the NCAA March Madness App."It’s unfortunate for fans that have that service, but it’s not a matter that our university can control," U of L athletic department spokesman Kenny Klein said in an email to the Courier-Journal. "That’s a business decision between those two."Eric Lindsey, a UK athletic department spokesman said, "The current satellite television contract dispute does not involve UK Athletics. We hope the two sides can come to a resolution so that our fans are able to watch us play on CBS."On March 3, DISH Network executives accused Hearst Television Inc. of refusing their offer "to match the rates paid by other pay-TV providers" in the local markets. Hearst had previously temporarily blacked out local DirecTV subscribers during contract negotiations in January.John Hall, a spokesman for DISH, would not say how many people in Louisville are affected by the blackout because of "competitive reasons." He said that DISH has 13 million subscribers across the country and that "millions" are affected in the blacked-out markets. MORE MARCH MADNESS ► Where to go in Indy, Cards and Cats fans ► The big winner in Indy? ScalpersReturn to tournament reinvigorates Louisville ► Here's Continue Reading

Dish Network customers might lose NBC channels

It seems like Dish Network doesn’t want you to know that it’s in a tiff with NBCUniversal.NBCUniversal says Dish Network customers may lose NBC network programming and other NBC channels, such as USA Network, Bravo and SyFy. Its even started a website titled Make Dish Deliver warning customers that they may be without their favorite programs, such as "The Voice," "Chicago Fire," and "The Tonight Show Starring Jimmy Fallon."“Demand they keep your favorite shows!” the website states. “STOP THE DROP!”But Dish Network is calling foul. It has filed a breach-of-contract lawsuit against NBCUniversal, claiming that the broadcaster is forbidden from talking publicly about the expiration of its distribution agreements. What will you be missing if you lose NBC network programming as a Dish Network customer? 'Like' us on Facebook and leave a comment on this story to let us know. MORE:  No Yankees as Comcast says no to YES Network“NBCU has ignored its contractual obligation not to engage in these types of public communications and has instead decided to bombard Dish subscribers with prohibited messages, including, among other things, warnings that Dish is going to "drop" NBC programming, and has included “calls to action” in direct violation of the contracts,” the lawsuit states.The company expects to file for arbitration, which would prevent NBCUniversal from blacking out the channels on Dish, Dish Network said. A condition of Federal Communications Commission and the U.S. Department of Justice approval of the Comcast-NBCUniversal merger forbids NBC from blacking out its network if a TV provider asks for arbitration, the company added."Dish has successfully negotiated agreements representing numerous networks in recent months that benefit all parties, including our viewers,” the company said in a statement. “Dish’s goal is to reach a mutually beneficial deal with NBC.”In a Continue Reading

Mets fans subscribed to Dish Network could miss out if SportsNet New York can’t negotiate new deal

Mets fans who subscribe to Dish Network could miss Opening Day - and perhaps much of the 2011 season.If SportsNet New York, the TV home of the Mets, and Dish Network cannot reach an agreement on a new deal by 11:59 p.m. Thursday night, their current five-year contract will expire.The negotiation, according to industry sources, isn't strictly about the value of a new contract and a rate increase. Dish has never carried the Yankees Entertainment & Sports Network and last October dropped MSG Network and MSG Plus from its programming lineup."It looks like Dish is looking to get out of the regional sports network business in New York," a source said.Dish has a heavy concentration of subscribers in traditional Mets strongholds such as Brooklyn, Queens and Long Island. Join the Conversation: Continue Reading

Google testing new TV search service with Dish Network: WSJ report

In a move that blurs the line between television and the Internet even further, Google Inc. has paired with satellite TV provider Dish Network Corp., The Wall Street Journal reports. YouTube, according to sources cited by The Wall Street Journal. Android operating system, and the company also is rumored to be planning to link it with their Google TV ad service to provide ads based on viewing history.TiVo Inc., which recently announced new recorders which offer customers Web content that cortelates to their satellite TV recordings. Wall Street Journal’s sources say that it is only a beta version now, being tested by a select number of Google employees and their families. Join the Conversation: Continue Reading

Biz smackdown! Dish Network disses DirecTV over celeb endorsers like Beyonce, Christina Aguilera

Satellite TV providers Dish Network Corp. and DirecTV Inc. usually unleash attack advertisements against their cable TV competitors. But as Dish lost subscribers while DirecTV gained, Dish has increasingly been targeting DirecTV. At Sunday night's Grammy Awards, Dish unveiled a 30-second TV commercial attacking DirecTV's list of celebrity endorsers, such as Beyonce, Christina Aguilera and Kim Basinger. "Maybe that's why on average DirecTV customers spend over $175 a year more than Dish Network customers," said the ad, which was created in-house at Dish. "Someone's got to pay for it," said Ira Bahr, Dish's chief marketing officer. Bahr, an advertising industry veteran, spearheaded a campaign to go against DirecTV just four months after joining Dish in February 2009. This week's ad is one of the most aggressive yet. So far, he said, the campaign is working. Dish lost 94,000 net subscribers in the first quarter of 2009 and added 26,000 net customers in the second quarter, its first increase in five quarters. By the third quarter, it has gained 241,000. Bahr said the commercial will run nationally through February and beyond if it continues to bring in subscribers. DirecTV didn't immediately return a call for comment. Sanford Bernstein analyst Craig Moffett said the two have stepped up their discounting and promotions to get customers. Since last year, they're also spending more on attacks ads. "This time, they're aimed at each other. This posture stands in stark contrast to prior years, when they principally targeted cable as 'the other guys,'" he said in a research note. "It is hard to view this as a positive development for either one," Moffett added. Join the Conversation: Continue Reading

System Update: Cable alternative Sling TV from DISH Network may be wave of future

The day is coming when you won’t need a cable box and a cumbersome contract to watch “Big Bang Theory” and the Super Bowl, when you won’t have to call a company every other year to rework a contract that includes a hefty helping of channels you’ve never even watched. That day is not yet, but it continues to draw closer. And the biggest step toward that day came just last month. Meet Sling TV, an Internet-driven endeavor from DISH Network that is the first legitimate alternative to traditional cable TV. It’s a service that’s free of contracts and friendly of pricing, and it offers tantalizing flexibility to the tech-savvy user. The service needs some work before it’s ready to captivate the average user, but with evolution, it has the potential to be special. The service is currently available on a handful of devices, including Amazon’s streaming devices, iPads and iPhones, Android phones and PCs and Macs. In the coming months (and Sling’s been working quickly), it will hit the Xbox One and maybe even Apple TV. Regardless, even in its current state, it’s easy to get Sling TV onto your HDTV; you’re just an HDMI connection away. The most tantalizing number in Sling’s formula: $20, the starting price for a month of Sling TV with 17 channels (really 16, since Adult Swim and Cartoon Network are basically one), including ESPN, TBS, TNT, CNN and the Disney Channel. For smaller $5 monthly fees, you can augment that package. There’s a Sports Extra that includes the likes of ESPNews and ESPN U for example, and a Kids Extra with the likes of DisneyXD and Disney Junior. None of these packages add a ton, but the setup still seems preferable to some bloated cable bill that charges you for the Fox News and C-Span that you don’t even acknowledge. There’s a viewing price to pay, though, in the form of the complete lack of the big five networks. Fox, ABC, NBC, CBS and the Continue Reading