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If the AT&T/DirecTV merger goes through


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#26 OFFLINE   Stewart Vernon

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Posted 21 May 2014 - 12:08 AM

The bigger companies do not always buy smaller ones.  Quite often, actually, smaller companies buy larger ones.  Sometimes companies in bankruptcy even buy solvent companies!  Many examples out there.


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#27 OFFLINE   James Long

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Posted 21 May 2014 - 12:16 AM

Pretty sure Verizon is bigger than dish. And so is sprints parent company. Just saying.


I believe the people suggesting Verizon Wireless + DISH or Sprint + DISH are thinking of DISH being bought - or at least some sort of "merger of equals".
 
 

The bigger companies do not always buy smaller ones.  Quite often, actually, smaller companies buy larger ones.  Sometimes companies in bankruptcy even buy solvent companies!  Many examples out there.


A weak big company can be bought by a smaller company as a turnaround opportunity. Personally I'd expect DISH to buy a weak smaller company.
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#28 OFFLINE   damondlt

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Posted 21 May 2014 - 04:25 AM

The bigger companies do not always buy smaller ones. Quite often, actually, smaller companies buy larger ones. Sometimes companies in bankruptcy even buy solvent companies! Many examples out there.

I think it's safe to say Charlie doesn't have the funds to buy Verizon.
He already claimed Directv was out of his reach.
Directv is worth a quarter of Verizon.

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#29 OFFLINE   Laxguy

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Posted 21 May 2014 - 10:21 AM

I tend to think the days of the mega program packages are probably numbered.  Live TV is very important for Sports.  No sportsfan wants to DVR an event and then have some bozo tell them the score before they have a chance to watch it so most sports are watched live in a particular area.


This sportsfan avoids the bozos and gets to watch a baseball game in less than half the time if it were live, more if he FFs through boring innings. It helps a lot I don't have to go to an office, and that most folks here are thoughtful enough to not tip off scores. But I won't go to FB, unless it's baseball season; none of my "friends" seem to need to report on game number 53.....Other sites are also to be avoided.
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#30 OFFLINE   Stewart Vernon

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Posted 21 May 2014 - 11:42 AM

I think it's safe to say Charlie doesn't have the funds to buy Verizon.
He already claimed Directv was out of his reach.
Directv is worth a quarter of Verizon.

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It isn't a matter of money... at least not directly.  IF Charlie wanted to buy Verizon, and Verizon was open to it...  it wouldn't be that difficult for Charlie to leverage his total worth + the value of a combined company in order to make a merger happen.  Companies get loans all the time to buy other companies... again, smaller/less valuable companies can buy larger ones all the time.  For large loans, many banks offer payback plans that only require you to pay the interest for a while... so a stable company can take out a large loan in order to buy a company with a lot less "down" than you might think... and then when the merger goes through, the combined company is in a position to pay back the bank loan that funded the merger.


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#31 OFFLINE   satcrazy

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Posted 21 May 2014 - 12:05 PM

Now, don't jump on me, but what about Netflix?

Wouldn't that be a crazy deal?





Oh, and another thought, I bet all dish subs are still paying for that 690M$ termination fee.

Edited by satcrazy, 21 May 2014 - 12:11 PM.

chris


#32 OFFLINE   damondlt

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Posted 21 May 2014 - 02:52 PM

It isn't a matter of money... at least not directly. IF Charlie wanted to buy Verizon, and Verizon was open to it... it wouldn't be that difficult for Charlie to leverage his total worth + the value of a combined company in order to make a merger happen. Companies get loans all the time to buy other companies... again, smaller/less valuable companies can buy larger ones all the time. For large loans, many banks offer payback plans that only require you to pay the interest for a while... so a stable company can take out a large loan in order to buy a company with a lot less "down" than you might think... and then when the merger goes through, the combined company is in a position to pay back the bank loan that funded the merger.

Not going to happen.

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#33 OFFLINE   Laxguy

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Posted 21 May 2014 - 03:27 PM

Not going to happen.

He very clearly said "IF". It's a hypothetical, illustrating some key ideas. 


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#34 OFFLINE   damondlt

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Posted 21 May 2014 - 04:25 PM

He very clearly said "IF". It's a hypothetical, illustrating some key ideas.

I agree with him, he has some good points.
But when it comes to dish buying Verizon. No way on earth.


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#35 OFFLINE   damondlt

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Posted 21 May 2014 - 04:33 PM

Honestly, I think Dish should buy out some of these smaller cable companies before Comcast does.
I would say Cablevision , but I'm sure that ship has sailed.

But there are lots of Cable companies in the USA that my not survive much longer against these major merged companies.
I already heard Comcast has their sites on 3 independent companies here in Eastern pa.



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#36 OFFLINE   James Long

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Posted 21 May 2014 - 05:36 PM

Honestly, I think Dish should buy out some of these smaller cable companies before Comcast does.


How would that improve DISH's service? If it were a small company making a lot of money it may help bring some cash to DISH's operations - but I see no compelling reason to expand into a business that is generally doing worse than DISH. Any companies purchased need to add value to DISH Network.
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#37 OFFLINE   damondlt

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Posted 21 May 2014 - 05:42 PM

How would that improve DISH's service? If it were a small company making a lot of money it may help bring some cash to DISH's operations - but I see no compelling reason to expand into a business that is generally doing worse than DISH. Any companies purchased need to add value to DISH Network.

I think it would add value. These cable companies all have broadband services right at their doorsteps.

Tens of Millions out there with independent cable services currently

Dish would be Buying the customer base as well as all the land line Fiber.


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#38 OFFLINE   Stewart Vernon

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Posted 22 May 2014 - 01:31 AM

I don't know how much fiber there is in the "smaller" cable companies.  I would think Dish would have to buy a larger cable company to get fiber...  and I don't know if Dish would care to buy old/small cable companies without substantial fiber installations.

 

I could see Dish buying a company like Verizon.  Not saying it will or even should happen... but that would expand them in a couple of directions into new markets, get them internet and fiber-optic configurations and a bunch of cellular/wireless to boot.

 

Dish did sort-of try and buy Sprint not too long back... so they could have been testing the waters.


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#39 OFFLINE   Drucifer

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Posted 23 May 2014 - 07:20 PM

Will there be DirecTV dishes on top of every AT&T wireless towers? So that they can feed homes block by trees?


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#40 OFFLINE   inkahauts

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Posted 24 May 2014 - 03:03 PM

Now, don't jump on me, but what about Netflix?

Wouldn't that be a crazy deal?





Oh, and another thought, I bet all dish subs are still paying for that 690M$ termination fee.


I've actually felt DIRECTV should buy Netflix for a long time. Dish has blockbuster. And they failed with it it seems.

#41 OFFLINE   inkahauts

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Posted 24 May 2014 - 03:05 PM

I think it would add value. These cable companies all have broadband services right at their doorsteps.
Tens of Millions out there with independent cable services currently
Dish would be Buying the customer base as well as all the land line Fiber.

I see where you are going but I think they need someone who is in the wireless world not cable world. It allows them to cover the entire country not just certain markets. I think they are looking at national control.

#42 OFFLINE   acostapimps

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Posted 25 May 2014 - 12:13 PM

If Dish tries to buy Verizon it would be for the wireless service, but not for FIOS since it's only on certain markets.

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#43 OFFLINE   BobCulp

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Posted 23 June 2014 - 02:40 PM

You can see Pat Gottsch tonight Monday June 23 at 8 PM EDT On channels 231 Rural (Family Net) TV and 232 RFD TV ; to explain the 2 big mergers and possible loss of Rural TV, RFD TV, or both.

 

"Mergers Are a Challenge to Rural Television
Comcast-Merger-Webpage-5_01_18.jpg
Ladies & Gentlemen,

Carriage of the rural, independent programming delivered by RFD-TV and RURAL TV is at stake now with the potential merger of Comcast Cable with Time Warner Cable, and the separate merger of AT&T U-Verse with DIRECTV.  If approved by the FCC, these two mergers will control over 54,000,000 homes effecting RFD-TV and RURAL TV viewers in all 50 states.  



Let me be clear - we are NOT opposed to these mergers, at this time.  Instead, we are working hard to raise the level of awareness of the plight of rural, independent programming in Washington, DC, and how we can insure that our channels are treated fairly with these mergers so that rural interests are protected.  In May, I testified before Congress, and met separately with both the FCC (Federal Communication Commission) and the DOJ (Department of Justice).  All were very interested in the potential effect of these mergers on rural America.



These same people are now reviewing the potential mergers between Comcast Cable and Time Warner Cable, along with the pending merger of AT&T with DIRECTV.  This is a big deal, and will essentially determine RFD-TV and RURAL TV's carriage for the next several years on all these cable and satellite systems. 



At this time, the FCC (Federal Communications Commission) wants to get comments from the public.  Here is your chance to really make a difference, and make your statement in support of RFD-TV and rural programming.  There is a short and simple process to register your comments directly to the FCC.  Here's how:

1.  CLICK HERE to go directly to the FCC page for making comments.  (PLEASE READ THE INSTRUCTIONS BELOW BEFORE GOING TO THE FCC PAGE).  
2.  Select Proceeding Number 14-57: Applications of Comcast Corporation and Time Warner Cable Inc. for Consent to Assign or Transfer Control of Licenses and Applications
3.  Fill out the form with your name, address, and comments in the boxes provided.  
4.  Click "Continue" at the end, where you will review your information and comments one more time.


5.  Click "CONFIRM" and your comments are then delivered to the FCC.



I ask that you do this without delay, as there will be a limit to the time for public comment.  Each and every comment takes us one step closer to insuring that RFD-TV and RURAL TV are carried post merger(s).



Note - Remember this is FCC Proceeding Number 14-57 - Comcast Corporation and Time Warner Cable.  Make sure that 14-57 is in the first line on your FCC form.  

Comcast has been removing RFD-TV from many of their cable systems over the last year.  Mr. David Cohen, VP at Comcast, explained the dropping of RFD-TV in Colorado and New Mexico in August/2013 in the House Judiciary Hearing on the merger by stating that Comcast is "primarily an urban-cluster cable company".  That did not sit well with the rural Congressmen on the panel.  Mr. Cohen gave no explanation for adding Al Jazeera America two days after taking RFD-TV down on those same Colorado and New Mexico cable systems, or for carrying BBC World News as an independent channel on all their systems.  I also testified at that same hearing, and asked the rhetorical question "Can't there be room for at least one channel that serves the interests of rural America"?



Please feel free to contact me direct with any questions at Patrick@rfdtv.com.  



Together, we can get this done and ensure that rural programming is distributed on cable for years to come.  Breaking news on this matter will be announced on all our channels - RFD-TV, RURAL TV, FamilyNet, and RURAL RADIO on SiriusXM channel 80, and through our e-mailed weekly newsletter.



Thanks so much for your support.  I apologize for all of us having to go through all this, but the attitudes of these urban-based media executives make this all necessary.  We must stand up, now, to make sure that a wall is not built between urban and rural America.

Comcast-Merger-Webpage-6_22.jpg
    
    Patrick Gottsch

    Founder
    Rural Media Group, Inc."

 



#44 OFFLINE   inkahauts

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Posted 24 June 2014 - 02:33 AM

So he wants to what? Guarantee he get can get a price increase or be carried on all levels of programing by law or something? I am missing something there.

#45 OFFLINE   satcrazy

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Posted 24 June 2014 - 03:23 PM

Looks like they just don't want to be dropped.

Or did I miss something here?

chris


#46 OFFLINE   damondlt

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Posted 24 June 2014 - 03:53 PM

I didn't even know we still had RFD.


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#47 OFFLINE   satcrazy

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Posted 24 June 2014 - 04:24 PM

I think the question is how many rural tv fans out there?

You can't use BBC world as a complaint, however.

I've seen a few of their programs, and while the equestrian offerings were ok, "Mollie B's polka party" got old after 10 minutes, and I'm Polish.

So my response is what do you really offer the rural audience to keep your spot?

chris


#48 OFFLINE   Diana C

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Posted 24 June 2014 - 04:34 PM

Honestly, I think Dish should buy out some of these smaller cable companies before Comcast does.
I would say Cablevision , but I'm sure that ship has sailed....

 

Hah!! The Dolans wouldn't do a deal with Charlie Ergen if he was the last businessman on earth.  They still haven't gotten over Voom.


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#49 OFFLINE   Diana C

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Posted 24 June 2014 - 04:49 PM

The last couple of years have not been good times for either satellite service.  Honestly, I'm not sure why AT&T really wants DirecTV.  One reason given has been to allow bundling of services, but you can really only do that where AT&T are the ILEC, or an overbuilder.  But AT&T must have some kind of plan.

 

The reality is that few companies will be interested in ANY cable or satellite company for their TV distribution business.  Dish's best asset is not Dish Network, it's all that wireless spectrum they have been buying up (and what Verizon is interested in).

 

If Dish were going to buy someone, it would more likely be a Sprint or a T-Mobile - somebody that gives them a jumpstart in the wireless business, and who already have access to towers upon which new transmitters can be placed.  In most urban and suburban areas the most profitable land to own (by revenue per square foot) is the land under a transmitter tower.

 

The problem with buying Netflix is the same problem DirecTV had when they tried to buy Hulu...no matter how hard to try, if the current owners don't want to sell you're out of luck.


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#50 OFFLINE   damondlt

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Posted 24 June 2014 - 06:44 PM

Hah!! The Dolans wouldn't do a deal with Charlie Ergen if he was the last businessman on earth. They still haven't gotten over Voom.

yes that's exactly what I was getting at. lol

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