Starz could go dark tonight for Verizon Fios subscribers, the network announced Wednesday. The two sides are engaged in an intense licensing negotiation, and with their current deal expiring at midnight ET, there’s a chance it will go dark for subs.
In a statement, Starz said it “has been negotiating in good faith with Verizon on a distribution agreement” while Verizon, in its own statement, said “it is disappointing that Starz has chosen to publicly signal a potential channel removal while Verizon remains actively engaged in constructive discussions.”
The premium service has actually shifted its business to more of a streaming model in recent years; the company closed the October-December quarter with 12.7 million U.S. streaming subscribers, up 370,000 customers from the previous period, with a total of 17.6 million across all platforms.
In their statement, Starz warned that Starz channels, Starz On Demand and the Starz app were in danger of going away on Verizon Fios.
“Starz has been negotiating in good faith with Verizon on a distribution agreement that would ensure our shared customers continue to have uninterrupted access to Starz premium programming,” said Alison Hoffman, president of Starz Networks, said in a statement. “As an independent programmer dedicated to women and underrepresented audiences, Starz is vital to a competitive media marketplace, providing diverse programming alternatives to content from larger conglomerates. Limiting access to Starz would reduce competition and consumer choice. Unless an agreement is reached imminently, our viewers should be prepared for Verizon to remove Starz.”
In response, Verizon said, “It is disappointing that Starz has chosen to publicly signal a potential channel removal while Verizon remains actively engaged in constructive discussions. Using public warnings to create concern among subscribers is an unnecessary pressure tactic.
Verizon is committed to offering a wide variety of diverse programming across our lineup, while also protecting our viewers from unjustified price increases. Starz is attempting to use public pressure to force higher rates on our customers which would directly drive up monthly bills for the families we serve. Starz channels remain fully accessible today, and we encourage Starz to focus on completing a fair agreement at the negotiating table rather than causing concern for viewers.