Friday, November 1, 2024

Sony Sues CBS Over Game Shows


“Wheel of Fortune” and “Jeopardy!” are two of TV’s best known programs, and have been churning out profits for years. Now a legal fight has erupted between the companies behind the game shows, reports The Wall Street Journal..

Sony—which makes “Wheel of Fortune” and “Jeopardy!”—is suing CBS the distributor, for allegedly undercutting the value of the shows to serve its own interests. CBS licenses the shows to television stations and sells some ad space in them, receiving a cut of the revenue.

“Wheel” and “Jeopardy!” have been staples of broadcast television for more than 40 years, and together generate more than $100 million in profits annually for Sony, a person familiar with the matter said.

Both shows have sustained their popularity even with new frontmen. Pat Sajak retired from his “Wheel” duties earlier this year, and Ryan Seacrest took over. On “Jeopardy!” Ken Jennings succeeded Alex Trebek, who died in 2020. Vanna White remains on “Wheel,” unveiling the letters that contestants guess. 

On Thursday, Sony filed a lawsuit in Los Angeles Superior Court alleging breach of contract and claiming CBS earned distribution fees from unauthorized deals, licensed the shows at prices below market rates and favored its own shows over “Wheel” and “Jeopardy!” when making distribution deals and selling advertising. 

Sony said it was seeking damages and will try to end its agreement with CBS and find new distribution and advertising partners for the shows. 

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