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Guest Message by DevFuse

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AT&T Agrees to Purchase DirecTV (Was: ATT looking to buy Direct TV)


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1370 replies to this topic

#926 OFFLINE   CincySaint

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Posted 12 September 2014 - 09:10 AM

White says the deal will close "soon"  :)

 

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#927 OFFLINE   slice1900

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Posted 12 September 2014 - 01:43 PM

White says the deal will close "soon"   :)

 

LINK

 

Late Q1/early Q2 2015 isn't exactly "soon".


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#928 OFFLINE   dpeters11

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Posted 12 September 2014 - 01:47 PM

Late Q1/early Q2 2015 isn't exactly "soon".

 

He's speaking in DBSTalk timescales.


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#929 OFFLINE   harsh

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Posted 13 September 2014 - 08:05 AM

White says the deal will close "soon"   :)

"Soon" was the brainchild of c|net.

To say so would be a little presumptuous given that the NFL ST contract isn't expected to be done until the end of the year.

Edited by harsh, 13 September 2014 - 08:07 AM.

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#930 OFFLINE   Rich

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Posted 13 September 2014 - 10:33 AM

He's speaking in DBSTalk timescales.

 

Which means it won't happen until late 2015 if it happens at all.  I wonder how much White stands to walk away with.  Bet he hopes it's really "soon".

 

Rich



#931 OFFLINE   James Long

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Posted 13 September 2014 - 12:08 PM

Late Q1/early Q2 2015 isn't exactly "soon".


That time frame would be right on target with the initial announcements and released documents. No surprise.
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#932 OFFLINE   Athlon646464

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Posted 18 September 2014 - 06:26 AM

Update: AT&T's Stankey: Company will end up spending more on content after DirecTV purchase
 
(fiercecable.com) - Belying his company's earlier claims that its proposed purchase of DirecTV could yield synergies of around $1.6 billion in regard to programming acquisitions, AT&T Chief Strategy Officer John Stankey said content costs could actually increase for the combined company if AT&T's ambitious programming goals are realized.
 
Speaking Tuesday at the Bank of America Merrill Lynch Media, Communications and Entertainment event in New York, Stankey said the "absolute dollar amount we spend on content will probably go up, but we'll be investing in a lot more business models."...
 
 
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#933 OFFLINE   harsh

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Posted 18 September 2014 - 12:48 PM

(fiercecable.com) - Belying his company's earlier claims that its proposed purchase of DirecTV could yield synergies of around $1.6 billion in regard to programming acquisitions, AT&T Chief Strategy Officer John Stankey said content costs could actually increase for the combined company if AT&T's ambitious programming goals are realized.

"Belying" probably isn't the correct term. "Contrary to initial claims" would probably have been better.

The lie was the selling point for shareholders of both companies that programming costs would go down by well more than a billion dollars a year.

On the bright side, it would appear that this increase would result, in part, from both services carrying significantly more channels (and OTT content).

Edited by harsh, 18 September 2014 - 12:49 PM.

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#934 OFFLINE   slice1900

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Posted 18 September 2014 - 02:32 PM

The two claims aren't necessarily contradictory. If they have more subscribers, they feel they can get a better deal from providers on a per subscriber basis. That would lower the content costs on a per subscriber basis, for existing content.

 

Despite that, if they want content that neither provides today, they might end up spending more (in total) for content than the two companies pay now. If this new content is included in basis packages, then it increases the cost to subscribers. If it is add-on content then it would only increase cost for subscribers who wish to pay for it.

 

As is always the case, it would probably be a combination of the two.


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#935 OFFLINE   harsh

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Posted 20 September 2014 - 11:34 AM

The two claims aren't necessarily contradictory.

The claims are completely contradictory. They initially projected a 1.6 billion savings and now it is going to cost millions more. Synergies don't count when the end result is higher costs. There's no middle ground if you're looking at this as a shareholder where combined programming costs are projected to be more than 2 billion more than initially claimed in the justification for the merger.

If you're looking at it from the standpoint of a DIRECTV subscriber, you know it will come in the form of a higher ARPU as opposed to a lower one. AT&T isn't buying into this to not get less than 20% ROI out of the DIRECTV division.

Edited by harsh, 21 September 2014 - 03:17 PM.

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#936 OFFLINE   slice1900

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Posted 20 September 2014 - 07:12 PM

They project a savings based on the current channel package. They anticipate spending more for content, meaning there will be more content offered. Are you too dense to understand that distinction, or just trolling?


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#937 OFFLINE   harsh

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Posted 21 September 2014 - 03:13 PM

They project a savings based on the current channel package. They anticipate spending more for content, meaning there will be more content offered.

They placed no conditions on the claims. It sounds like they're not going to be paying less for what they're currently getting as was hoped.

Fabricating an independent theory that the merged company will be adding lots of additional content or even harmonizing their offerings across delivery formats is speculation at best.
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#938 OFFLINE   Laxguy

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Posted 21 September 2014 - 03:50 PM

They project a savings based on the current channel package. They anticipate spending more for content, meaning there will be more content offered. Are you too dense to understand that distinction, or just trolling?

 

Mr. Harsh is not dense, and he doesn't troll a lot. He just has no direct DIRECTV® experience. 


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#939 OFFLINE   bluegras

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Posted 23 September 2014 - 10:13 AM

do you guys think everything will be in HD after the merger and the new satellites go up?just asking



#940 OFFLINE   slice1900

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Posted 23 September 2014 - 12:54 PM

Directv will be able to broadcast everything in HD once the new satellites are operational, but they never will. Some content is not even available in HD, some may cost more for Directv to deliver in HD, some perhaps Directv won't think it is worth the bother to deliver in HD because the audience is tiny. There are probably occasional/potential contractual issues where the provider or Directv use HD delivery or lack of as leverage against each other, rather than pulling content entirely.


Edited by slice1900, 23 September 2014 - 12:54 PM.

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#941 OFFLINE   MysteryMan

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Posted 23 September 2014 - 04:15 PM

Directv will be able to broadcast everything in HD once the new satellites are operational, but they never will. Some content is not even available in HD, some may cost more for Directv to deliver in HD, some perhaps Directv won't think it is worth the bother to deliver in HD because the audience is tiny. There are probably occasional/potential contractual issues where the provider or Directv use HD delivery or lack of as leverage against each other, rather than pulling content entirely.

Back in October, 2012 Philip J. Goswitz, DirecTV's vice president for space and communications stated all standard-def channels will be converted to HD by 2016 using local-into-local Ka-Band capacity. He added converting standard-def channels to high-def would free up 1 gigahertz of satellite spectrum for Ultra HD (4K) signals.


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#942 OFFLINE   slice1900

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Posted 23 September 2014 - 11:26 PM

The older statements like that are, the less likely they're still accurate. He's saying they'll stop MPEG2 entirely in barely two years, when they only quit new MPEG2 installs two months ago! I suppose that's possible, but considering how long it took them to get rid of MPG it seems a bit overly optimistic, to say the least. There are other things wrong with his statement too, but I think that's the big one.


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#943 OFFLINE   harsh

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Posted 24 September 2014 - 08:10 AM

Back in October, 2012 Philip J. Goswitz, DirecTV's vice president for space and communications stated all standard-def channels will be converted to HD by 2016 using local-into-local Ka-Band capacity.

Back then, the conversion to all MPEG4 was supposed to be largely complete by 2015. Given that they started the conversion of new customers in earnest just a short while ago, it seems that the timetable has shifted.
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#944 OFFLINE   onan38

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Posted 24 September 2014 - 08:32 PM

AT&T-DirecTV Merger Would ‘Stifle Competition

 

http://www.billingwo...ifle-compe.aspx



#945 OFFLINE   cmasia

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Posted 25 September 2014 - 09:56 AM

DIRECTV Stockholders Approve Merger with AT&T Inc.

 

http://investor.dire...nc/default.aspx


Edited by cmasia, 25 September 2014 - 09:56 AM.


#946 OFFLINE   harsh

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Posted 25 September 2014 - 10:07 AM

The fact that the vote was 99% in favor shows just how imperative this merger is to DIRECTV shareholders.
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#947 OFFLINE   nmetro

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Posted 25 September 2014 - 12:27 PM

We'll see if regulators approve this. If they do, then expect Comcast to merge with Warner Cable. Then we can speculate on the next merger target, which will further reduce competition and raise prices.



#948 OFFLINE   slice1900

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Posted 25 September 2014 - 01:13 PM

The fact that the vote was 99% in favor shows just how imperative this merger is to DIRECTV shareholders.

 

It says nothing of the sort. It says that the Directv shareholders think they're getting a good deal from what AT&T is offering.


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#949 OFFLINE   acostapimps

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Posted 25 September 2014 - 06:29 PM

Of course they will more money in their pockets.


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#950 OFFLINE   Laxguy

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Posted 25 September 2014 - 06:51 PM

Of course they will more money in their pockets.

 

And that's a bad thing???


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