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Guest Message by DevFuse

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VOOM sues Dish.


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177 replies to this topic

#41 OFFLINE   Greg Bimson

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Posted 29 February 2008 - 05:36 PM

I do not understand according to James Voom has to produce a certin # of new program hours. Voom is not doing this so why is Dish still keeping Voom??

I thought it wasn't the "# of new program hours," but the amount of money spent to acquire programming. And that is why there is a lawsuit.

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#42 OFFLINE   rey_1178

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Posted 29 February 2008 - 06:04 PM

I thought it wasn't the "# of new program hours," but the amount of money spent to acquire programming. And that is why there is a lawsuit.


correct. it's the amount of money

#43 OFFLINE   ClaudeR

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Posted 29 February 2008 - 06:17 PM

I know I dropped to the HD Essentials the first day it came out. I bet if there was a poll, we would see a HUGE percentage like this. Another dying company pissed becaused they are going down. QUICK - CALL THE LAWYERS! :money: :money: :money: :money:

#44 OFFLINE   James Long

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Posted 29 February 2008 - 06:34 PM

I do not understand according to James Voom has to produce a certin # of new program hours. Voom is not doing this so why is Dish still keeping Voom?? Why not drop them and add more popular HD Channels???

It is money, not hours, that is the benchmark for Voom ...

Under the terms of the affiliation arrangements with EchoStar covering the VOOM HD Networks for a 15 year term, if Rainbow HD Holdings fails to spend $100,000 per year (subject to reduction to reflect permanent reductions in the number of channels constituting the VOOM HD service), up to a maximum of $500,000 in the aggregate, on its service offerings, EchoStar may terminate the affiliation agreement. Echostar has exercised its audit rights under the affiliation agreement to determine whether Rainbow HD Holdings is in compliance with these requirements. The Company has the right to terminate the affiliation agreement if the VOOM HD Networks are discontinued in the future.

Emphasis added on the important parts. Apparently DISH believes Cablevision isn't spending enough on Voom programming -- or there would not be an audit underway.

The bad part is if Cablevision fails the worst case scenario is DISH gets out of the contract. DISH loses content. :(

#45 OFFLINE   racton1

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Posted 29 February 2008 - 06:53 PM

Dish Voom sued drop Voom and give us some real HD programs


AMEN!

#46 OFFLINE   James Long

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Posted 29 February 2008 - 07:13 PM

An update from the 2007 10K filed by Cablevision (made public yesterday):

In 2005, subsidiaries of the Company entered into agreements with EchoStar by which EchoStar acquired a 20% interest in VOOM HD and agreed to distribute VOOM on its DISH Network for a 15-year term. The affiliation agreement with EchoStar for such distribution provides that if VOOM HD fails to spend $100 million per year (subject to reduction to the extent that the number of offered channels is reduced to fewer than 21), up to a maximum of $500 million in the aggregate, on VOOM, EchoStar may seek to terminate the agreement under certain circumstances. On January 30, 2008, EchoStar purported to terminate the affiliation agreement, effective February 1, 2008, based on its assertion that VOOM HD had failed to comply with this spending provision in 2006. On January 31, 2008, VOOM HD sought and obtained a temporary restraining order from New York Supreme Court for New York County prohibiting EchoStar from terminating the affiliation agreement. In conjunction with its request for a temporary restraining order, VOOM HD filed a lawsuit against EchoStar asserting that EchoStar did not have the right to terminate the affiliation agreement. That lawsuit is pending, as is the court’s decision on VOOM HD’s motion for a preliminary injunction. Separately, on February 1, 2008, EchoStar began to distribute VOOM in a manner that the Company believes violates EchoStar’s obligations under the affiliation agreement. On February 4, 2008, VOOM HD notified EchoStar of its position that this new distribution constitutes a material breach of the affiliation agreement and reserved all its rights and remedies.

Apparently DISH didn't like the audit!

The oddest part of this, is the paragraph quoted previously is from Cablevision's 3rd quarter report - and it gives $100k and $500k number. Now in the annual report it is $100 million and $500 million.

#47 OFFLINE   rey_1178

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Posted 29 February 2008 - 07:25 PM

AMEN!


+1:cuttle:

#48 OFFLINE   Stewart Vernon

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Posted 01 March 2008 - 06:32 AM

What everyone is assuming is that if Dish were not carrying Voom they wouldn't have used those 15 channels for other HD last October. I find that hard to believe.


There are apparently 7 uplinked HD channels right now that are not available to us... Voom is not preventing those from being turned on... so it is a reasonable leap to say that even if Voom was not on Dish at all 6 months ago, we would still not have SciFi, USA, etc. at this point.

We don't know what is preventing some of the new HD channels launching on Dish... but right at this moment it isn't lack of bandwidth because of having Voom that is preventing.

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#49 OFFLINE   gargoyle8

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Posted 01 March 2008 - 11:28 AM

i wish i had read this sooner. i just switched to D* because i did not appreciate how dish rearranged thier hd packages. the total hd package for $29.99 was a good idea except you are not allowed to add any SD packages to it. i felt dish was punishing everybody that was demanding a complete hd package. i will regret leaving dish, but i have cnn hd and twc hd to help me get over it. the voom chennels (even though they suck) is what gave dish the advantage over D*. they should be part of the basic hd package, without them, i dont see how dish can continue to make their bogus claim "we have the most hd channels available" dish owes voom some respect.

#50 OFFLINE   rey_1178

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Posted 01 March 2008 - 01:13 PM

i wish i had read this sooner. i just switched to D* because i did not appreciate how dish rearranged thier hd packages. the total hd package for $29.99 was a good idea except you are not allowed to add any SD packages to it. i felt dish was punishing everybody that was demanding a complete hd package. i will regret leaving dish, but i have cnn hd and twc hd to help me get over it. the voom chennels (even though they suck) is what gave dish the advantage over D*. they should be part of the basic hd package, without them, i dont see how dish can continue to make their bogus claim "we have the most hd channels available" dish owes voom some respect.


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#51 OFFLINE   BobaBird

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Posted 01 March 2008 - 05:46 PM

The oddest part of this, is the paragraph quoted previously is from Cablevision's 3rd quarter report - and it gives $100k and $500k number. Now in the annual report it is $100 million and $500 million.

The larger number strikes me as much more believable. I don't expect the lower number would pay for very many new productions at all.
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#52 OFFLINE   HobbyTalk

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Posted 01 March 2008 - 06:14 PM

$100k would barely pay for a single episode of a program like Dirty Jobs.

#53 OFFLINE   racton1

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Posted 01 March 2008 - 10:31 PM

There are apparently 7 uplinked HD channels right now that are not available to us... Voom is not preventing those from being turned on... so it is a reasonable leap to say that even if Voom was not on Dish at all 6 months ago, we would still not have SciFi, USA, etc. at this point.

We don't know what is preventing some of the new HD channels launching on Dish... but right at this moment it isn't lack of bandwidth because of having Voom that is preventing.


Perhaps E has not come to terms with the networks you have mentioned. I have contacted out local CW station and they say we are in discussions with E to carry the station in HD.

#54 ONLINE   phrelin

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Posted 06 March 2008 - 06:38 PM

One thing. Maybe rather than engaging in shinanigans leading to a lawsuit, Dish should try this approach to getting HD content - pay for it.

Surely Voom's Rave would have carried this if Dish paid for it:

DirecTV to Air South by Southwest Concerts in HD
U.S. satellite-TV leader DirecTV will broadcast 24 shows in high definition from the South by Southwest festival in Austin, Texas, between March 13 and March 15, the company says. X, Daryl Hall and the Lemonheads are among performers appearing at the Austin Convention Center that will be broadcast on DirecTV’s The 101 channel.


And then there's this Friday Night Lights renewal DirectTV marketing coup using content that could have appeared on WorldSport if Dish had paid for it (emphasis added):

The answer came in a deal with DirecTV, now owned by John Malone's Liberty Media. Clearly Malone is looking to distinguish DirecTV from its rivals on a content as well as price basis. "It's an innovative deal where NBC found a partner who will share costs and exhibition windows," an insider explained to me. So both NBC and DirecTV will be airing Friday Night Lights across multipurpose platforms.


Dish may have its hands, as well as transponders, full competing with a content oriented DirectTV. Neither of these items can compete with a Charlie Chat, of course, but....;)

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#55 OFFLINE   Richard King

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Posted 06 March 2008 - 07:15 PM

One thing. Maybe rather than engaging in shinanigans leading to a lawsuit, Dish should try this approach to getting HD content - pay for it.

Surely Voom's Rave would have carried this if Dish paid for it:


Dish DID pay for it, not that specific programming, but much other programming. They invested in Voom to the extent of a 20% ownership. VOOM is responsible for securing programming for the service, not Dish. That was part of the agreement when Dish bought in. It would be rather hard for Dish to start a service that would compete with Voom at this point, and I am sure there is a clause in their contract saying that they won't so long as the ownership agreement is in place. I wouldn't be surprised if this flap between them is Dish's attempt to free themselves from Voom and the various restrictions in their contract. IF Dish gets out of Voom Voom will quickly disappear. I would miss Rave, but, hopefully something will come along to replace it in the near future.
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#56 ONLINE   phrelin

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Posted 07 March 2008 - 12:49 AM

In 2005, subsidiaries of the Company entered into agreements with EchoStar by which EchoStar acquired a 20% interest in VOOM HD and agreed to distribute VOOM on its DISH Network for a 15-year term.

How much money did Echostar pay into Voom for that 20%?

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#57 OFFLINE   James Long

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Posted 07 March 2008 - 02:35 AM

It is undisclosed.

#58 ONLINE   phrelin

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Posted 07 March 2008 - 11:27 AM

It is undisclosed.

So we don't know if they paid anything or just agreed to carry the channels?:grin:

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#59 OFFLINE   jal

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Posted 08 March 2008 - 07:37 PM

You will like Directv. I was with dish for about 9 years, then made the switch. One of the reasons was the jacked up hd fees, among other things.

#60 OFFLINE   Richard King

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Posted 09 March 2008 - 08:09 AM

So we don't know if they paid anything or just agreed to carry the channels?:grin:

If they didn't pay anything and simply agreed to carry the channels in exchange for 20% of the company Voom wouldn't still be here.
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