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Talks between Pac-12, ATT and DirecTV have hit an impasse

ByJonathan Bass|
Dec 5, 2014; Santa Clara, CA, USA; General view of the Pac-12 logo at midfield of Levi
Dec 5, 2014; Santa Clara, CA, USA; General view of the Pac-12 logo at midfield of Levi

Discussions between the Pac-12, AT&T and DirecTV for a renegotiated television deal have reportedly stalled.

Talks between the Pac-12 and DirecTV (and its parent company AT&T) have reportedly hit an impasse. According to John Wilner, the conference walked away from discussions on Saturday, reportedly unhappy with AT&T’s request for an equity stake in the Pac-12 Network.

From Wilner’s earlier report, the Pac-12 Network has been far less profitable than channels belonging to other Power 5 conferences – specifically the Big Ten and SEC Networks. AT&T is looking to recoup more value from the network, hence its play for equity.

"The Pac-12 Networks have approximately 12 million subscribers nationally, according to media research firm SNL Kagan. That’s one-fifth the total of their Big Ten and SEC counterparts, which are co-owned by FOX and ESPN, respectively. Nor are the Pac-12 Networks as profitable as the conference initially hoped, sources said: They’re generating just $1 million per year (approximately) for each university – far less than the Big Ten and SEC networks distribute to their schools."

While talks have stalled, it’s likely both parties return to the table and hammer out a deal.

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