YouTube TV, Paramount reach deal to keep channels on streaming platform after contract dispute

YouTube TV has reached a deal with Paramount to keep channels like CBS, Comedy Central, Nickelodeon and MTV days after failed negotiations for a new contract had briefly left the future of their streaming alliance in limbo.

“We’re happy to share that we’ve reached a deal to continue carrying Paramount channels, including CBS, CBS Sports, Nickelodeon and more,” YouTube announced in a statement Saturday night. “With this agreement, YouTube TV will continue to offer 100+ channels and add-ons including Paramount+ with SHOWTIME and will enable more user choice in the future.” 

The statement ended with a note to YouTube TV subscribers, whose “patience” the company praised as it “negotiated on [their] behalf.”

YouTube, the online video platform owned by Google, launched its subscription-based arm for television streaming in 2017, partnering with broadcast and cable networks that gave YouTube TV access to their programs. 

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Whether the company’s prior agreement with Paramount, which allowed it to stream a broad range of channels under the network’s umbrella, would hold up for another year was uncertain until Saturday, as a dispute over carriage fees halted talks for a contract renewal.

Carriage fees are costs that paid TV providers, like YouTube, make to broadcasters, like Paramount, for the rights to carry that broadcaster’s programming. Spats between providers and broadcasters have occurred with increasing frequency in recent years, at times causing disruptions for viewers.

Paramount had accused YouTube TV of pressuring the network to agree to “one-sided terms” that favored the streamer, while YouTube said their team was “working hard to reach a fair agreement with Paramount that allows us to keep their channels,” in separate statements issued in the days leading up to the eventual deal. 

To avoid a lapse in programming access for subscribers as negotiations continued past their original deadline, YouTube TV announced a “short-term extension” for talks with Paramount on Thursday. That meant its customers could continue accessing Paramount channels despite the then-ongoing contract clash.

YouTube TV has more than 8 million subscribers, YouTube CEO Neal Mohan said last year. The disagreement with Paramount trailed a price hike in January for YouTube TV,  which increased the cost of its basic subscription package by $10 per month.

CBS News is owned by Paramount Global, which offers the streaming service Paramount+.