Cablevision blasts Fox; Fox demurs

The FCC stepped in last week demanding the sides describe the negotiations. The agency gains a stronger justification to intervene if the companies are not fulfilling their statutory obligation to negotiate “in good faith.”

In its letter to the parties, the FCC requested they detail any evidence that the other side is not negotiating fairly.

Fox and Cablevision took starkly different approaches to that task.

Fox said it “carefully complied with our duty” to negotiate in good faith, and detailed the negotiation process. But it “respectfully declined” to enumerate any Cablevision wrong-doing.

“We remain hopeful that the negotiations will continue” and result in a deal, said Michael Hopkins, president of affiliate sales for Fox.

“Making charges of statutory violations will not advance this process,” he said.

Cablevision, however, was quick to lay blame on Fox for the dysfunctional process.

The company’s letter argues that Fox made a “take it or leave it” offer on programming rates, and has continually upped the rates on the table.

Fox “never engaged in real negotiations … and they timed the Fox blackout to leverage major national sporting events to force Cablevision to accept unreasonable demands,” said Chuck Schueler, a spokesman for Cablevision, in a statement.

Cablevision has said it welcomes government intervention. Fox might benefit more from a private negotiation process, because the power to withhold its programming is a strong bargaining chip.