Bill Carter reporting for the New York Times:
The war between CBS and Time Warner Cable intensified Friday afternoon when the cable company pulled the CBS stations in the New York, Los Angeles and Dallas markets.
CBS said the service was suspended around 5 p.m. Eastern time. Both sides then issued statements blaming the other for being unreasonable in the negotiations, which were extended from Monday.
Throughout this process, Time Warner Cable has conducted negotiations in a combative and non-productive spirit, indulging in pointless brinksmanship and distorted public positioning – such as the fictional and ridiculous 600 percent increase CBS supposedly demanded – while maintaining antiquated positions no longer held by any other programming distributor in the business.
We agreed to an extension on Tuesday morning with the expectation that we would engage in a meaningful negotiation with CBS. Since then, CBS has refused to have a productive discussion. It’s become clear that no matter how much time we give them, they’re not willing to come to reasonable terms. We thank our customers for their patience and support as we continue to fight hard to keep their prices down.
Sounds like the negotiations went sour and executives are taking things personally. Could CBS not develop a direct to consumer solution and cut Time Warner out completely? I’m sure Apple, Google, and Amazon would all be happy to help.