Optimum has called on MSG Networks to refund customers up to $125 million, which represents the estimated $10 per month per subscriber value MSG Networks attributes to its programming.
This demand follows an ongoing blackout of Knicks, Rangers, Islanders, and Devils games. Despite multiple negotiations, MSG Networks rejected Optimum’s offers to resolve the dispute.
Optimum accuses MSG Networks of prioritizing profits, potentially driving customers to pay three times more through its Gotham Sports app, which charges $30 per month for the same $10 content, amounting to $360 annually.
In 2024, nearly 50 percent of Optimum’s customers with access to MSG Networks didn’t watch the channel, raising concerns about forcing non-viewers to pay. The blackout and disputes occur against a backdrop of an outdated RSN model, which MSG Networks’ own Executive Chairman admitted risks becoming unviable due to game distribution changes under a $76 billion NBA deal.
Optimum is also frustrated with MSG Networks’ insistence on inflated, mandatory fees that penalize most subscribers to support its struggling business model.
Optimum maintains its support for local sports teams and offers solutions, including helping fans access Gotham Sports and providing non-sports fans with video packages starting at $30 per month. The company emphasized its evolving approach to cater to individual customer needs, urging MSG Networks to adopt a more consumer-friendly stance.