Dish cuts a deal with CBS, agrees to hit “pause” on ad-skipping DVR

The ability to create an ad-skipping feature for a DVR is nearly as old as DVR technology itself. Yet after more than a decade, the technology is still struggling for a foothold, pressed on all fronts by the TV networks whose business relies on advertising.

Dish launched its "AutoHop" ad-skipping feature in 2012 and, predictably enough, got sued by CBS, NBC, and Fox. AutoHop prospered, though, as Dish proceeded to win one court victory after another.

What the networks couldn't get in court, they're now getting, for the most part, in hardball business negotiations.

CBS and Dish reached an agreement this weekend that will end all pending litigation between the companies, as well as put CBS content back on Dish. The deal follows a blackout of more than 12 hours in which CBS content was pulled from Dish subscribers.

The deal will also disable some ad-skipping abilities for Dish customers. During a seven-day window following the airing of a CBS show, the AutoHop feature will be disabled.

The content CBS pulled from at least a dozen major Dish markets included popular shows like NCIS, as well as NFL games.

The companies have declined to comment on the deal beyond the prepared statement they released this weekend, which reads in part:

“We are very pleased with this deal, which meets all of our economic and strategic objectives,” said Ray Hopkins, President, Television Networks Distribution, CBS Corporation. “We look forward to having DISH as a valued partner for many years to come.”

“We are pleased to continue delivering CBS programming to our customers, while expanding their digital access to Showtime content through Showtime Anytime,” said Warren Schlichting, DISH Senior Vice President, Programming.

As Techdirt notes, this deal allows Dish to "negotiate away" AutoHop, on similar terms to the deal that Dish struck with ABC earlier this year.

CBS took some extreme measures to fight AutoHop. When CNET journalists at the 2013 CES convention were set to nominate Dish's new DVR as "best in show," CBS lawyers stepped in and forced them to change their decision. That led CES to strip the "Best of CES" decision away from CNET, and CEA President Gary Shapiro berated the network publicly.