DirecTV and the Walt Disney Co. have mutually agreed to a new multiyear distribution deal that grants the satellite TV company rights to ABC, ESPN and online video services authenticated by the Disney Channel.
The renewal of the agreement between the two companies allows subscribers of DirecTV access to the entertainment content of Disney, which can be accessed through all Internet-connected devices such as computers, TVs, gaming consoles and mobile devices.
DirecTV, the leader in the satellite TV industry, is the final major pay-TV company to sign up for the "TV Everywhere" service of Disney as it renews its agreement with the company, which was due to expire at the end of this year.
The agreement between Disney and DirecTV was originally set to expire on Sept. 30. However, the term was extended as the two companies commenced negotiations regarding this new deal. The two companies avoided interruptions to the services of subscribers, which have happened between other content companies and satellite TV companies while negotiating new deals.
The provisions of the new deal were not disclosed.
The 20 million subscribers of DirecTV in the United States will gain access to video-on-demand content and live feeds from all cable networks of Disney and ESPN and all TV stations owned and operated by ABC. The agreement also includes the Watch services of Disney, and allows subscribers to access all these content both inside and outside the home.
The agreement also calls for DirecTV to launch several channels, including the ABC News and Univision joint venture Fusion, ESPN Buzzer Beater, ESPN Goal Line and Longhorn Network. DirecTV subscribers will also be granted access to ESPN3, which is the live multi-screen channel of ESPN, and SEC Network +, which is the digital service of the SEC Network.
According to Dan York, chief content officer for DirecTV, the agreement between the company and Disney allows for the two companies to "evolve together into the future," in addition to the wide range of content that DirecTV subscribers will gain access to inside or outside their home.
"It's an immense and exciting undertaking to work together to shape the future of content consumption, and the possibilities are endless," York added.
The deal with DirecTV is the final one that Disney had to make to secure partnerships with the top 10 pay-TV companies in the U.S., which Disney had been working on for the past several years, said Disney and ESPN Media Networks VP of affiliate sales and marketing David Preschlack.
