Verizon Communications Inc. pulled Bloomberg TV, the Bloomberg L.P.’s news network, from more than 4.6 million pay-TV subscribers after the provider of financial news requested that the carrier pay it for content for just the first time.
Verizon announced that it took the news network down in December because it refused to pay for the content when viewers are able to access it online for free. It was not clear whether the two companies will find a solution that will allow the network to return broadcasting to Verizon subscribers.
In a message to its FIOS TV subscribers related to removing Bloomberg TV, Verizon said that Bloomberg proposed that it pay to use the content they are making available to everyone at no cost on their own website as well as mobile app.
Verizon has advised its customers to visit the website and or app of Bloomberg to now see Bloomberg TV, said spokesperson for Verizon late this week.
Bloomberg did not comment about the situation when a request was left for them to.
Satellite and cable companies have seen subscribers leaving in large numbers, making them far less willing to pay for television programming when it also can be found for free online.
Six cable providers in the U.S., including Verizon, lost over 1.6 million subscribers during the first three quarters of 2017.
The largest wireless carrier, Verizon, is one of an increasing number of distributors using a new tactic for negotiations with programmers by referring their subscribers to the streaming services of the programmers.
Altice USA Inc., this week, advised it clients to sign up for the online streaming service of Starz after to pulled all its channels from more than 3.4 million of its subscribers.
At the same time, Bloomberg has focused a great deal on expanding its viewership online. In December, the company launched s new news service that runs 24 hours per a day with Twitter, giving it an opportunity to broadcast its content to over 330 million active users on the microblogging site.
The new service, known as TicToc by Bloomberg, for the most part is new content that is exclusive to the platform. However, some overlap does exist with Bloomberg TV, said sources that are familiar with the content for both.