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Guest Message by DevFuse

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Rumor -- Direct to Acquire Echostar


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88 replies to this topic

Poll: Do you think Dish Network and DirecTV should merge? (372 member(s) have cast votes)

Do you think Dish Network and DirecTV should merge?

  1. Yes (108 votes [28.95%])

    Percentage of vote: 28.95%

  2. No (202 votes [54.16%])

    Percentage of vote: 54.16%

  3. Not sure (31 votes [8.31%])

    Percentage of vote: 8.31%

  4. Don't care (32 votes [8.58%])

    Percentage of vote: 8.58%

Vote

#1 ONLINE   Nick

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Posted 17 July 2006 - 06:59 AM

Speculation of a merger rising at industry
conferences and in news accounts.


Washington, D.C., July 17, 2006 -- What's the hottest rumor in television today?

Satcasters DIRECTV and EchoStar will soon announce a merger.

A deal joining the nation's top satellite TV services has been speculated about for
months. However, the rumors have suddenly escalated in the last few weeks with
reports coming from last week's Allen & Co. media and technology conference in
Idaho.

"Also floating through the mountain air was the perpetual rumor about a buyout
of EchoStar, the satellite television company owned by Charles W. Ergen, who
also attended the conference," The New York Times reported.

And a Reuters news article last week quoted Wall Street analysts as saying that
the upcoming presidential election in '08 could spur a wave of mergers (including
DIRECTV-EchoStar) due to concerns that a Democratic administration would be
less likely to approve them. ...

More @ TVPredictions.com

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#2 OFFLINE   Richard King

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Posted 17 July 2006 - 07:23 AM

Yogi was right. ;)
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#3 OFFLINE   Earl Bonovich

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Posted 17 July 2006 - 07:44 AM

Oh boy... Here we go again.
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#4 OFFLINE   philhu

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Posted 17 July 2006 - 08:16 AM

Wasn't this Kabashed a few years ago by the FTC?
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#5 OFFLINE   Geronimo

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Posted 17 July 2006 - 08:24 AM

Eureka! My time machine works.
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#6 OFFLINE   bjflynn04

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Posted 17 July 2006 - 08:27 AM

Wasn't this Kabashed a few years ago by the FTC?


No because D* and E* dropped it before it got to the point where the merger could be approved or not.
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#7 OFFLINE   Geronimo

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Posted 17 July 2006 - 08:48 AM

No because D* and E* dropped it before it got to the point where the merger could be approved or not.




Not quite. Both the FCC and DoJ had to approve the merger. The FCC which normally waits until after DoJ acts disapproved the merged. At that point DISH chose to drop the matter. That set off a round of negotiations about the penalty clause in the merger agreement.

http://www.broadband...ireless_fcc.htm

I am skeptical that this merger will be looked at any any differently---if this report is reliable.
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#8 OFFLINE   Chris Blount

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Posted 17 July 2006 - 08:55 AM

I was going to mention this on the home page but then I realized that the article was written by Phillip Swann. Mr. Swann tends to write stuff like this just to gain attention. While his analysis is interesting, it's nothing more than pure speculation at this point.

On the other hand, speculation can be fun. :)

#9 OFFLINE   Adam Richey

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Posted 17 July 2006 - 08:55 AM

I'm intrigued by the possibility, and if the FCC can continue to ignore the Philadelphia CSN situation, surely it can approve a buyout if the seller and buyer switch places. LOL
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#10 OFFLINE   Bill R

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Posted 17 July 2006 - 09:04 AM

I was going to mention this on the home page but then I realized that the article was written by Phillip Swann. Mr. Swann tends to write stuff like this just to gain attention. While his analysis is interesting, it's nothing more than pure speculation at this point.

On the other hand, speculation can be fun. :)


I also tend to distrust anything written by Phillip Swann. He posts a lot of stuff just to drive traffic to his web site.

But, as Chris said, "speculation can be fun". Let's see if anything comes out ot this or if this is just more PS (Phillip Swann) BS.
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#11 OFFLINE   FTA Michael

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Posted 17 July 2006 - 10:16 AM

The difference here would be that Fox, broadcaster to millions and proud supporter of our government and its appointees, would be in favor of the merger. Last time, Fox was dead-set against the merger.
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#12 OFFLINE   James Long

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Posted 17 July 2006 - 10:20 AM

If the headline was "Charlie Ergen buying DirecTV" I could understand. That exclusive Sunday Ticket has lead a lot of people to buy a subscription.

I spent a day recently with a guy who was absolutely sure that D* and E* were already owned by the same people and that they used the exact same satellites. I didn't want to start a war so I let it go.

The FCC has not changed it's stance on the issue. It would be foolish to try again.

#13 OFFLINE   Greg Bimson

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Posted 17 July 2006 - 11:56 AM

Unlike the Adelphia situation, where hundreds of incumbent cable monopolies under the control of either Adelphia, Time Warner or Comcast, were being reorganized into two companies with monopoly franchising, any issue for a DirecTV and Dish Network merger will most likely face the same problem as it did before: lack of competition in the multichannel marketplace, and in some instances a monopoly for many rural areas.

The FCC and FTC do not like to create monopolies.

#14 OFFLINE   Mark Holtz

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Posted 17 July 2006 - 01:24 PM

It would be interesting. You could put the East Coast feeds on 101, West Coast feeds on 119, and single feeds on 110. But, I think the focus now is getting High-Def on the air.
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#15 OFFLINE   James Long

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Posted 17 July 2006 - 04:36 PM

With the current fleet of satellites it would be a blessing and a curse. D*'s Phase III stacking trick would need to be broken if more of 110° was opened to D* customers. Duplicated spotbeams could be used for HD locals (instead of D* ka and E* 129/61.5). But who's technology wins? Do you replace millions of E* receivers with D* recievers?

It would probably be best to go full bore MPEG-4 on a combined system.

#16 OFFLINE   PDR

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Posted 17 July 2006 - 05:26 PM

Did anyone else see the story in today's LA Times business section about the Allen & Co. conference in Sun Valley? One of the active rumors is that Rupert and Charlie are negotiating the sale E* to Direct. Rupert feels that the FCC will approve this time because of the fact that Comcast and TW gobbled up Adelphia and the entry of the local telcos into the tv business. Anyone else have any knowledge on this matter.

PDR

#17 OFFLINE   foghorn2

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Posted 17 July 2006 - 06:24 PM

If this happens, I'll go back to cable!
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#18 OFFLINE   hankmack

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Posted 17 July 2006 - 06:38 PM

I doubt that will happen. I doubt the FCC would allow a monopoly control the only source of TV for rural America.

#19 OFFLINE   tnsprin

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Posted 17 July 2006 - 06:46 PM

Did anyone else see the story in today's LA Times business section about the Allen & Co. conference in Sun Valley? One of the active rumors is that Rupert and Charlie are negotiating the sale E* to Direct. Rupert feels that the FCC will approve this time because of the fact that Comcast and TW gobbled up Adelphia and the entry of the local telcos into the tv business. Anyone else have any knowledge on this matter.

PDR

Since they wouldn't allow the sale of Directv to Echostar, it would be real strange if the allowed the reverse.

Sounds like a silly rumor.
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#20 OFFLINE   Slamminc11

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Posted 17 July 2006 - 06:52 PM

was enough to jump the stock $1.80+ per share. Keep the rumors coming!




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