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Fox, Time Warner Dispute Could Affect Race Fans
December 30th, 2009

CHARLOTTE, N.C. — The end of the calendar year is approaching and with that looms a deadline that could greatly affect television viewers — and racing fans — around the globe.
Fox and Time Warner Cable are at a stalemate in negotiations over fees to carry programming on Fox and many of its affiliates including Fx and Speed Channel.
With the Daytona 500, the kickoff of the NASCAR season on Fox less than six weeks away and the Rolex 24 At Daytona, which is traditionally aired by Speed, a month away, racing fans in many of the country’s top motorsports markets, including Charlotte, N.C. (the home of stock car racing), New York and Los Angeles, could face not getting to see two of the biggest races of the season.
If an agreement is not reached by midnight Dec. 31, Fox channels on Time Warner Cable systems across the country will go dark.
Fox has increased its prices to Time Warner for these and other channels, and Time Warner — not wishing to pass yet another increase onto its customers — is holding its line in negotiations with Fox, which also owns Speed.
The move would mean racing fans could not watch any motorsports programming on Speed, and the longer the impasse continues the greater the risk is for viewing of other NASCAR Sprint Cup Series events as the first 14 events of the season are scheduled for Fox.
This potential loss of Fox and Speed in the two “major” markets of the country could be a significant pitfall to NASCAR and its teams, which are already struggling with sponsorship and ratings, which fell throughout 2009.
In addition to NASCAR coverage, the loss of Fox would mean millions of Americans would lose the opportunity to watch the upcoming Fiesta and Orange Bowls and the national championship college football game as well as the NFL playoffs, “American Idol,” “24,” “House” and other popular Fox programs.
Essentially, Fox is seeking approximately $1 per subscriber each month from Time Warner. Published reports say that is in the same range of what is charged by TNT and other cable networks, but nothing close to the $4 per subscriber fee required by ESPN.
Both Time Warner (www.rolloverorgettough.com) and Fox (www.keepfoxon.com) have set up Web sites explaining (or spinning, depending on a person’s individual interpretation) their side of the dispute.
“Fox attracts more viewers than the five most expensive cable networks combined (ESPN, TNT, USA, ESPN2 and NFL Net),” the Fox site proclaims.
“The future of free, over-the-air broadcast programming requires broadcasters to compete on a level playing field — which means getting fair value compensation from cable companies like Time Warner Cable,” reads a portion of the statement on keepfoxon.com.
However, Time Warner Cable executives call the fee Fox is seeking “unreasonable and excessive, especially in the economic climate.”
The two sides continued to negotiate as the deadline loomed, with industry experts saying Time Warner had offered to pay 30 cents per subscriber, and the Fox was likely to settle for between 50 and 70 cents per subscriber.
Fox programming could remain on the air if a settlement is near as the deadline expires.




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