Wednesday, August 4, 2021

AT&T HAS AN EYE ON DIRECTV

May 1, 2014 by · Leave a Comment 

Until now, almost any discussion about possible mergers involving satellite providers DirecTV and DISH have generally concerned the two companies’ efforts to acquire a major telephone operator so that they could compete more effectively against cable companies who bundle phone and pay-TV services. That discussion has now been turned on its ear by published reports that telephone operator AT&T has approached DirecTV with an offer to acquire it. Reports appearing in the Wall Street Journal, the Los Angeles Times and the trade press note that based on DirecTV’s current capitalization the deal would be worth at least $40 billion, and, combined with AT&T’s U-Verse landline service, would give the merged company nearly 26 million subscribers, allowing it to compete effectively against a merged Comcast and Time Warner Cable with nearly 30 million subscribers. Today’s (Thursday) reports suggest that before moving ahead, DirecTV and AT&T will likely await a decision on whether the Comcast and TWC merger passes regulatory muster.