MTA Continues Discussions with AMC Network for Renewal of Carriage Agreement
AMC Networks is Demanding Significant Rate Increase in Latest Contract Renewal Agreement
PALMER, AK—December 17, 2015- Contract negotiations between media giant AMC Networks and MTA could lead to an interruption of service if an agreement is not reached by December 31, 2015. AMC Networks could force MTA, along with several other Alaskan cable TV providers, to remove AMC and WE from their television line-ups on January 1, 2016.
MTA, along with over 700 other small cable operators across the nation, is currently in negotiations with AMC Networks, owner of AMC, WE and several other networks, to continue offering AMC programming to their customers. The current contract doesn't expire until December 31, which means all existing networks and programming will remain available throughout the rest of 2015. The increase AMC is demanding of - more than 350% - would ultimately end up being passed on to MTA DTV consumers.
"The current proposal from AMC Networks for carriage beyond December 31st includes a significant cost increase, that will ultimately be passed on to all of our customers,” explained MTA CEO Michael Burke. "We are fully prepared to pay a fair price for the AMC programming our customers want, but when huge companies such as AMC Networks demand an unprecedented increase in its monthly fees, we believe it's our responsibility to take a stand."
MTA is a member of the National Cable Television Cooperative (NCTC), which represents over 850 independent cable companies across the United States. Members can opt in to have the NCTC negotiate with program providers and others on their behalf, which is currently the case with AMC Networks. By aggregating volume discounts, local TV providers can pass cost savings on to their customer allowing them to compete with larger national competitors.
MTA exists so that its member-owners have efficient and effective solutions to their communication needs, including reliability, competitive pricing, and superior customer service. Matanuska Telephone Association (MTA) is a member-owned cooperative founded in 1953 to bring telephone service to rural South-Central Alaska. Today, MTA delivers some of the most advanced communications products available in the marketplace, including Voice, Internet, Wireless, Business Solutions, Directory and Digital TV services. The MTA service area covers over 10,000 square miles and spans the area from Eagle River’s Hiland Road to Clear Air Force Base.