Thursday, August 18, 2011

Gatsby, but not Gatsby?

"The sign of a first-rate intelligence is the ability to hold two opposing ideas in the mind at the same time and still retain the ability to function."

- F. Scott Fitzgerald

Barry,

You tell me that carriage deals are often struck just before midnight and both sides like to haggle to the last moment. But then you tell me that some carrier somewhere in the great state of Texas should have signed up to carry the Longhorn Network at least two weeks before the launch date. I’m confused. Which is it?

Thanks,
luridtransom

Network difficulties at the Longhorn Network
By BARRY HORN
The Dallas Morning News
August 12, 2011


As launch date nears, Longhorn Network is still looking for carrier

If a television network launches and no one can watch it, does it make a sound?

That's the philosophical question of the day. The Longhorn Network is scheduled to launch in less than two weeks, and not a single cable, satellite or telecom carrier in the state has signed on.

Can LHN launch as scheduled on Aug. 26 if no one can watch it?

Let's begin by saying it is likely that some carrier will add the network to its buffet menu of offerings before launch. Two weeks is an eternity in the game of chicken that ESPN and the University of Texas are playing with the likes of Time Warner Cable, DirecTV and AT&T.

Carriage deals are often struck just before midnight. Both sides like to haggle to the last moment over who will make how much from the subscriber fees that will be added to your bill when LHN is launched and placed on the same tier as the likes of ESPN, Fox Sports Southwest and CNN.

(Personal aside: I would love to eavesdrop on the conversation when a Texas A&M fan calls their carrier to ask about the extra 40 or 50 cents a month on his bill and is told it's for LHN.)

But I'll say this: Some carrier somewhere in the great state of Texas should have signed up by now. But no one has stepped forward. I checked with ESPN on Friday just to make sure the self-proclaimed Worldwide Leader wasn't holding back on a carriage announcement.

Of course, it isn't. Instead a spokesperson offered up the network mantra: "We are still in active discussions."

What is unusual here is that ESPN, LHN and Texas haven't made a single deal with say DirecTV or Dish or AT&T or Verizon Fios that it could try to leverage against the cable companies, as well as its satellite or telecom rivals.

I can see it now. DirecTV signs on for LHN while Dish doesn't and starts marketing itself as the place for Aggies, Texas Tech, Baylor, Oklahoma and Oklahoma State fans.

There's no question that Time Warner is the big dog that LHN needs in the state. That is the same Time Warner that is the lone holdout that has yet to make a deal with NFL Network.

Time Warner is the No. 1 carrier in Dallas-Fort Worth, San Antonio and Austin. Comcast is No. 1 in Houston, where Time Warner isn't a player. Maybe ESPN and Texas will have to bring the carriers on board as partners, much the same as MLB Network did to assure its wide distribution.

I'm sure ESPN and Texas considered the uniqueness of their situation before deciding to launch. They bet they would make their deals with the carriers. They probably will. Someday. But right now, they have to be holding their breath.

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