Last week, the CBS Affiliate Board told its members the deal
CBS owner Paramount Global struck with Fubo was unacceptable.
Nearly all of the major station groups — Nexstar Media Group, Sinclair Broadcast Group, Gray Television, Tegna, E.W. Scripps and Cox Media Group — all took the board's recommendation, turned down the CBS offer and pulled their stations from Fubo. (CBS is providing Fubo with a national feed with programming from the CBS News Streaming Network to fill in for local content.)
The affiliate board noted that CBS parent Paramount Global has a conflict, negotiating retransmission-consent deals for CBS-owned stations and affiliates and also license fee for its cable networks as well. (MTV, Nickelodeon, Paramount Network, Comedy Central were part of Viacom before
CBS merged with Viacom to form what is now Paramount Global.)
“While we’re not privy to this deal’s details, it seems logical to wonder if Paramount was willing to take lower CBS station retrans step-ups, but achieved improved terms on other networks,“ Cahall said. “This could drive a wedge between CBS and its affiliates, and it will be interesting to see whether this implicates upcoming CBS reverse comp deals.”