The DOJ on Thursday "settled its lawsuit with AT&T, resolving claims that a high-level DirecTV executive illegally colluded with other pay-TV companies in Southern California to block the rollout" of the Dodgers' cable sports channel in '14, according to Meg James of the L.A. TIMES. As part of the proposed government settlement, AT&T "pledged to monitor its employees so they do not illegally share information about sensitive contract negotiations with competitors." However, the government "stopped short of demanding" that AT&T begin carrying SportsNet LA. This means the shutout of the Dodgers channel "will continue unless AT&T agrees on its own to carry the channel on its DirecTV and U-Verse pay-TV systems." The government filed a lawsuit in November against AT&T, alleging that DirecTV Chief Content Officer Dan York was "the ringleader of a series of unlawful information exchanges" in '14 with three competitors -- Cox Communications, Charter Communications and AT&T (before the company bought DirecTV). The DOJ explained that its goal was "not to force AT&T to carry" the Dodgers channel. The Dodgers had "hoped the government's lawsuit would finally break the logjam" preventing fans from regularly watching the team's games on TV (L.A. TIMES, 3/24). In L.A., Tom Hoffarth noted the government suit was "seen as a surprising move" but a "possible opening to the stalemate in a process that has taken several nasty public turns." DirecTV has been "viewed as the linchpin in having other cable and dish companies pick up SportsNet LA," but as long as it "continues to resist adding it to its menu, competing companies are not as concerned about losing customers who could switch to DirecTV" (DAILYNEWS.com, 3/23).
