CBS reaches deal to end blackout — but it’s no solution for a broken TV model


CBS(s cbs) and Time Warner Cable(s twc) reached a fee arrangement over the weekend, ending a dispute that saw the network go dark in millions of homes for more than a month. The deal means blacked-out viewers will now get to see NFL football next week, but it also means the two sides punted on the underlying issues — concerning bundles and sports rights — that has made the overall economics of TV increasingly unviable.

In case you’re not a TWC subscriber, the crux of the dispute was this: since the sides couldn’t agree on how much the cable company should pay CBS for its content, Time Warner blacked out the popular channel and CBS’s Showtime offerings as well. CBS upped the ante by blocking TWC subscribers from getting online access to its shows.

Such blackouts are nothing new in the TV business, of course. But this one stood out…

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