US cable-television operator Time Warner Cable has said it is willing to let an arbitrator determine a fair price for carriage of the SportsNet LA regional pay-television sports channel in the hope of ending a dispute with other operators over distribution of the platform, which is owned by MLB baseball team the Los Angeles Dodgers.
SportsNet LA launched in February as part of the Dodgers’ exclusive local rights deal with TWC. Time Warner Cable holds a 25-year deal, from 2014 to 2038, for the Dodgers’ media rights in an agreement worth $8.35bn (€6.14bn).
However, pay-television operators DirecTV, Cox Communications, Verizon FiOS and Dish Network are not carrying SportsNet LA due to the price TWC is asking for carriage. The Los Angeles Times newspaper said Time Warner Cable is seeking more than $4 a month per subscriber in the first year with the price rising steadily through the life of the deal.
Time Warner Cable has agreed to arbitration after six congressmen sent a letter suggesting the move to DirecTV chief executive Michael White and TWC chief executive Rob Marcus.
“We prefer to reach agreements through private business negotiations, but given the current circumstance, we are willing to agree to binding arbitration,” a Time Warner Cable spokesman said.