Public officials are becoming involved in the contentious standoff between MSG Networks and Altice USA, the operator of the Optimum cable service. The Attorneys General of New York, Connecticut, and New Jersey released a statement on Thursday urging both MSG Networks and Optimum to find a resolution to end the network’s blackout on Optimum’s platform and to provide refunds to customers deprived of access.
This joint statement follows a letter sent by the AGs to Altice, demanding the necessary refunds. “New York sports fans are being put in the penalty box, forced to shell out their hard-earned money for television channels they cannot even watch,” stated New York Attorney General Letitia James. “Optimum customers have paid for channels to watch their home sports teams, but their cable company is not offering these channels while charging them anyway. I am determined to secure a solution for New Yorkers who have endured these unfair blackouts, and I urge Optimum and MSG to finally reach a deal so New Yorkers can watch their home teams.” New Jersey Attorney General Matthew Platkin and Connecticut Attorney General William Tong echoed this sentiment, urging both parties to come to an agreement.
MSG Networks has been unavailable to Optimum customers since the beginning of the year. It is believed that the debt-laden cable company is saving approximately $10 million per month by not carrying the channel. MSG’s parent company, Sphere Entertainment, is similarly burdened with debt, as investors suggest that the regional sports network may need to file for bankruptcy to alleviate financial pressures. Consequently, neither side is likely to make many concessions in negotiations.
Last week, the New York Post reported that Amazon could be interested in striking a deal with MSG that would allow its content to be streamed on Prime Video, which may help prevent MSG from entering bankruptcy proceedings. Public sentiment for a resolution is not limited to just officials; earlier this week, MSG Networks play-by-play announcer Mike Breen expressed that he felt “awful” for New York sports fans unable to watch games. Despite this outcry, analysts suggest that a resolution between the two sides remains unlikely, at least in the near future.
