ESPN pulled its channels from YouTube TV in September 2023 over a contract dispute about how much YouTube TV would pay for the right to carry them

YouTube TV and Disney (which owns ESPN) could not agree on a new carriage deal. Disney wanted higher fees; YouTube TV said the cost was too high to pass on to subscribers without a significant price increase. When negotiations stalled, Disney removed ESPN, ESPN2, and ESPNews from the platform. The blackout lasted about five months before a new agreement was reached in February 2024, and the channels returned.

This was not unique to YouTube TV. The same dispute affected other streaming services and cable providers around the same time. What made it notable was the length of the blackout and the visibility—ESPN is one of the most-watched networks in the United States, and losing it was a major blow to YouTube TV's sports coverage.

Key Takeaways

  • ESPN left YouTube TV because Disney and YouTube TV could not agree on how much YouTube TV should pay to carry ESPN's channels.
  • The blackout lasted from September 2023 to February 2024, meaning YouTube TV subscribers could not watch ESPN, ESPN2, or ESPNews during that period.
  • Disney also removed ESPN from other streaming services and cable providers during similar contract disputes around the same time.
  • YouTube TV's price increased after ESPN returned, reflecting the higher carriage fees YouTube TV now pays to Disney.

How Carriage Fees Work and Why They Matter

When you subscribe to YouTube TV, you pay a monthly fee. YouTube TV then uses part of that money to pay networks like ESPN for the right to show their channels. These payments are called carriage fees. Networks negotiate these fees with each distributor—YouTube TV, cable companies, other streaming services—separately.

Disney sets the price it wants for ESPN based on what it thinks the channel is worth. YouTube TV decides whether that price is affordable given what subscribers pay. If the two sides cannot agree, the network goes dark on that platform. This happened with ESPN because Disney's asking price was significantly higher than what YouTube TV was willing to pay.

The cost of carriage fees directly affects what you pay for your subscription. When YouTube TV brought ESPN back, the service raised its base price from $72.99 to $82.99 per month—a $10 increase that reflected the higher fees YouTube TV now owed Disney.

Why Disney Pushed for Higher Fees

Disney owns not just ESPN but also ABC, Disney Channel, and other networks. The company was trying to increase carriage fees across the board as traditional cable viewership declined. Fewer people were paying for cable, which meant Disney's revenue from carriage fees was shrinking. To make up for that loss, Disney demanded higher fees from the remaining distributors.

ESPN in particular is expensive to carry because it broadcasts live sports year-round, and live sports draw large audiences. Networks with live sports can charge more because viewers are less likely to skip them or watch them later. Disney knew YouTube TV needed ESPN to stay competitive with other streaming services, which gave Disney leverage in negotiations.

What YouTube TV's Position Was

YouTube TV argued that Disney's price increase was too steep. The service was already paying significant carriage fees to other networks, and adding more cost would force YouTube TV to raise subscriber prices further. YouTube TV was concerned that another price hike would drive away customers, especially since the service had already increased prices multiple times in previous years.

YouTube TV also pointed out that fewer people were watching traditional cable channels, including ESPN, compared to five or ten years ago. From YouTube TV's perspective, the value of ESPN had declined even if Disney's asking price had gone up. This disagreement about what ESPN was actually worth to modern viewers was at the heart of the dispute.

The Impact on YouTube TV Subscribers During the Blackout

For five months, YouTube TV subscribers could not watch ESPN, ESPN2, or ESPNews through the service. This was particularly painful during football season, when ESPN carries Monday Night Football and college football games. Subscribers who wanted to watch those games had to find another way—cable, a different streaming service, or ESPN's own app (which requires a cable or streaming login to access most content).

Some subscribers cancelled YouTube TV during the blackout and switched to competitors like Hulu + Live TV or YouTube's own YouTube Premium with Sports, which includes some ESPN content. Others downgraded to YouTube TV's base plan without live TV and used other services for sports. YouTube TV did not offer a price reduction during the blackout, which frustrated many customers.

How the Dispute Was Resolved

In February 2024, YouTube TV and Disney reached a new agreement. The terms were not made public, but industry reports suggested YouTube TV agreed to pay higher carriage fees in exchange for ESPN's return. YouTube TV then passed those costs to subscribers through the price increase mentioned earlier.

The deal also included expanded access to ESPN content through YouTube TV's platform, though the exact details varied. The key point is that both sides decided continuing the dispute was more costly than compromising. Disney was losing revenue from YouTube TV subscribers who cancelled, and YouTube TV was losing subscribers to competitors.

What This Means for Future Negotiations

This dispute showed that carriage negotiations are becoming more contentious as the media landscape shifts. Streaming services and traditional networks have fundamentally different views on what channels are worth. As more people cut cable, networks like ESPN are under pressure to raise fees from remaining distributors to maintain revenue. Streaming services, meanwhile, are trying to keep costs down to stay competitive.

Future blackouts are possible. YouTube TV, Hulu + Live TV, and other services will continue negotiating with Disney and other networks. When negotiations break down again—and they likely will—channels may go dark temporarily. The pattern is becoming familiar: blackout, subscriber frustration, eventual compromise, price increase for remaining subscribers.

Frequently Asked Questions

Is ESPN still on YouTube TV now?

Yes. ESPN, ESPN2, and ESPNews returned to YouTube TV in February 2024 and remain available. However, YouTube TV's price increased to cover the higher carriage fees YouTube TV now pays Disney.

Can I watch ESPN games without YouTube TV?

Yes. You can watch ESPN through cable, Hulu + Live TV, YouTube Premium with Sports, or the ESPN app (which requires a cable or streaming login). ESPN also streams some games on ESPN+ for an additional subscription fee.

Why do carriage fees keep going up?

Networks like ESPN charge higher fees because live sports draw large audiences and because traditional cable revenue is declining. Networks need to raise fees from streaming services to make up for lost cable subscribers. Streaming services then raise their prices to cover these costs.

Could ESPN leave YouTube TV again?

It is possible. Carriage disputes happen regularly across the industry. If YouTube TV and Disney cannot agree on fees when the current contract expires, another blackout could occur.

Why doesn't YouTube TV just drop ESPN to keep prices lower?

YouTube TV competes with other live TV streaming services like Hulu + Live TV and Sling TV. Dropping ESPN would make YouTube TV less attractive to sports fans and would likely cause more subscriber cancellations than a price increase would. From a business standpoint, paying higher fees and raising prices is less damaging than losing ESPN entirely.