(Updated 12/19) YouTube and Disney have worked things out after playing a game of legal chicken.

Original post...

YouTube TV has failed to reach a deal with Disney and the ramifications are immediate. According to an email sent out right after midnight on January 18, the live TV service will no longer offer any Disney-owned channels. As a result, the monthly price of YouTube TV will drop from $64.99 to $49.99.

Not only is live Disney content going away, viewers will also lose access to any existing Library recordings related to Disney properties.

Hardball negotiations have resulted in this deadlock and midnight news. It's always possible an agreement will be reached and the monthly price will pop back up. But as it stands, YouTube TV says "We know this is frustrating news, and it is not the outcome we wanted. We will continue conversations with Disney to advocate on your behalf in hopes of restoring their content on YouTube TV."

Here's a web page with the full channel listing of what's been cut, which includes ESPN.