Nielsen's (NLSN) Pruchase of Arbitron (ARB) Hinges on Disney (DIS)

August 26, 2013 8:44 AM EDT
Nielsen (NYSE: NLSN) might have to cede some of its power to Disney's (NYSE: DIS) ESPN if it plans on completing its acquisition of Arbitron (NYSE: ARB).

According to the NY Post, a contract between ESPN and Arbitron, which has ESPN licensing Arbitron's People Meter software to help identify whether viewers are watching content over TV, PCs, Smartphones, or radio, is set to expire. The ability for ESPN to negotiate a new contract with Nielsen is key.

Nielsen currently relies on old school technology of giving families boxes to help identify what they watch on TV. The combination of the company retaining control over 'old' and 'new' technology might not sit well with regulators.

While ESPN parent Disney was originally against the merger, the company has since decided that negotiations might be a better outcome.

The U.S. Federal Trade Commission is slated to meet this week on the decision.

Shares of Nielsen are flat in early trading. The merger was anounced last December.


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