Don't Hedge Funds and private equity typical like money UP FRONT? Splashing a ton of cash up front for a business model that is slowly dying a fast death doesn't sound like a wise investment, and is Directv flush is sale-able assets? You don't fly up to a satellite and bring it back for scrap.
AT&T explores Direct TV sale again
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Directv isn't worth that bandwidth, not even close and DIsh is what, the Fourth largest cell phone company... somehow.
When buying a company like this, there has to be something in the bundle that they want even though they are willing to throw the rest away.
That being said, IMHO a few years ago there would have been motive for Dish to do a deal like this. Now I think it would be more trouble than it's worth.
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That being said, IMHO a few years ago there would have been motive for Dish to do a deal like this. Now I think it would be more trouble than it's worth.
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The question is, does a sale include AT&T TV, which is DirecTV but delivered via internet. If it does not, then a sale could not include a lot of the media contract rights to re-transmit because that would kill AT&T TV. Such a sale, I would think would not inlcude any of the digital rights DirecTV may have becasue I would think AT&T needs those, as well.
This lead me to believe--IMHO--that AT&T wants to sell the sat distribution system, not necessarily the valuable media contract agreements, and perhaps, not even all of the DirecTV customers.
Was not AT&T's original and even repeatedly stated goal to take the DirecTV business onto the internet and distribute it that way? What AT&T does not want are the sats and support systems for those sats, or the sat distribution system.
That would make a purchase of "DircTV" as a DBS distribution service pretty worthless to anyone except Dish, who already have programming agreements and could use DirecTV's sat slots and satellites as additional back-up or to eliminate any future need to launch but a few satellites, but would likely want remaining DirecTV customers becasue without that critical mass, it would be a valueless purchase for Dish.
Yes, the govt. would allow Dish to buy DirecTV, but only with conditions and protections for rural customers and because it is likely that the only possible buyer for a shrinking dying DBS business is Dish, and AT&T would move heaven and earth with influencde at the govt. to allow the sale to Dish.
IMHO, I think this report of an interested party (and they have to be a really STUPID interested party) is phoney and designed to pressure Charlie into buying now before it is too late, but that ain gonna work. Most of these investment ventures don't know how to run a business and often those businesses go dark after purchase in a matter of time (goodbye, Sears). A sale to any other party than Dish would erode the value of DirecTV after the new investment owners ruin it, and at that point, Dish may no longer want it if it were subsequenlty offered to them.
This lead me to believe--IMHO--that AT&T wants to sell the sat distribution system, not necessarily the valuable media contract agreements, and perhaps, not even all of the DirecTV customers.
Was not AT&T's original and even repeatedly stated goal to take the DirecTV business onto the internet and distribute it that way? What AT&T does not want are the sats and support systems for those sats, or the sat distribution system.
That would make a purchase of "DircTV" as a DBS distribution service pretty worthless to anyone except Dish, who already have programming agreements and could use DirecTV's sat slots and satellites as additional back-up or to eliminate any future need to launch but a few satellites, but would likely want remaining DirecTV customers becasue without that critical mass, it would be a valueless purchase for Dish.
Yes, the govt. would allow Dish to buy DirecTV, but only with conditions and protections for rural customers and because it is likely that the only possible buyer for a shrinking dying DBS business is Dish, and AT&T would move heaven and earth with influencde at the govt. to allow the sale to Dish.
IMHO, I think this report of an interested party (and they have to be a really STUPID interested party) is phoney and designed to pressure Charlie into buying now before it is too late, but that ain gonna work. Most of these investment ventures don't know how to run a business and often those businesses go dark after purchase in a matter of time (goodbye, Sears). A sale to any other party than Dish would erode the value of DirecTV after the new investment owners ruin it, and at that point, Dish may no longer want it if it were subsequenlty offered to them.
Wasn't the Directv Streaming version ATT Now ?
ATT TV is the Non D* version as far as I know (subject to change per att like they already have done multiple times).
The Now had the 2 year contract and the ATT TV does Not .... iirc.
What does Directv have that Charlie wants? He doesn't even want to pay to keep RSNs, he seems to delight in dropping channels to save money/increase profits. I'm sincerely unable to see what he would get for the billions that he feels would make him more money.
But do each of those heads represent a profit or a loss when you figure in all of the Directv baggage? I have to believe more a loss if AT&T is being pushed to dump it.
Interesting speculation here. There seems to be some story in the financial sector almost every day now about how AT&T being forced to find some way to divest itself of Direct.
Let's not forget that AT&T already said they will not be launching any new satellites, and probably will not be introducing any new receivers either.
I think Ergen would be receptive to acquiring Direct but at his price which I'm pretty certain is far below that speculated asking price of 20b.
And with the advent of streaming I don't believe those anti-trust issues of the past are valid any longer.
Let's not forget that AT&T already said they will not be launching any new satellites, and probably will not be introducing any new receivers either.
I think Ergen would be receptive to acquiring Direct but at his price which I'm pretty certain is far below that speculated asking price of 20b.
And with the advent of streaming I don't believe those anti-trust issues of the past are valid any longer.
- Nov 29, 2003
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Until StarLink is available, the rural population might have something to say about that.
For cents on the dollar. Directv provides Ergen with nothing that I can see as valuable over the long term and would cost a lot of money, and he doesn't have much seeing he splurged a ton of debt into the spectrum. Ergen clearly has had 5G on his radar for a long time, not expanding Sat TV.
- Nov 29, 2003
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I did some searching about their growth and the only articles I could find were with statements from Orby itself. Since it is a private company there doesn’t seem to be anyone really looking at them from outside the company.
The final nail in Dish and Direct’s business will be ATSC 3.0
Pay services via ATSC 3.0, like Evoca in Boise ID, are going to make a large dent in the remaining bastion of satellite TV...rural America.
That will be enough to make it unprofitable.
Pay services via ATSC 3.0, like Evoca in Boise ID, are going to make a large dent in the remaining bastion of satellite TV...rural America.
That will be enough to make it unprofitable.
