Fan of channels such as CMT, VH1 Classic and Teen Nick? Cablevision is assuming that's a negatory. Today, the cable provider filed a federal antitrust suit against Viacom over the content distributor's programming bundling practices, which are alleged as anti-competitive. The lawsuit revolves around Viacom's insistence that ancillary networks be included in programming agreements in order to gain distribution rights to more popular networks such as Nickelodeon, MTV and Comedy Central. While the complaint itself remains under seal, Cablevision is arguing abuse of power in the lawsuit, which if successful, could have rippling effects throughout the pay-TV industry.
Cablevision is seeking declaratory relief that would void the two companies' programming contract (inked just this past December), along with a permanent injunction against Viacom's practice and the ability to carry Viacom programming until a new contract can be negotiated. Meanwhile, Viacom has asserted that it'll vigorously defend the lawsuit, and maintains that its practice is "win-win and pro-consumer" in the sense that its niche networks are offered at discounts. It seems that we can look forward to both companies butting heads for a while to come.
Filed under: Home Entertainment, HD
Source: Cablevision (PDF), Viacom
Source: http://feeds.engadget.com/~r/weblogsinc/engadget/~3/80jAY9nwHiI/
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