Posted on 12/21/2011 4:56:26 AM PST by Las Vegas Dave
Washington, D.C. (December 21, 2011) -- Well, here we go again. A financial analyst has opined that a large communications company wants to buy Dish Network or DIRECTV. Over the years, similar ideas have been proffered by numerous analysts and pundits (including yours truly), but the only deal that actually got to the altar was DIRECTV's merger with Dish Network a decade ago.
And that deal was killed by federal regulators who said the merger would be anti-competitive.
But today a new buzz can be heard on Wall Street and elsewhere because Christopher King, a Stifel Nicolaus analyst, says AT&T is now "desperate for spectrum" following its decision to abandon its deal with T-Mobile USA. (The company abandoned the deal because the feds were getting ready to reject it.) And Dish just happens to own spectrum companies TerreStar Networks and DBSD North America.
“Dish and AT&T aren’t direct competitors, and at the end of the day, the government wants to see spectrum used,” King said in an interview with Bloomberg News. “It’s highly unlikely regulators would block two AT&T deals in row.”
Dish Network shares yesterday jumped nine percent on the speculation, although both Dish and AT&T refused to comment on the idea.
AT&T wants more spectrum to offer wireless and other services for the growing number of people who use smartphone and tablets such as the iPad. Rival telco Verizon signed a spectrum deal with four cable companies this month, giving AT&T greater motivation to get its own deal done.
In addition to the spectrum rights, AT&T would get Dish Network's 14 million satellite TV customers and perhaps be able to end its own TV service, called U-Verse.
Beware the CEO with $35B* budgeted for acquisition.
He’s coming for a profitable company near you.
*AT&T has to pay T Mobile $4B for that acquisition failure.
Man I hope not!
I love Dish!
Dish Network is a dog.
Me too. Finally dropped AT&T after years of suffering their dropped call service. If this happens their customer service will be worse than DirectTV...
Take the advice of these so called experts lightly. a great financial guru published a lengthy article in the Wall Street Journal in the early eighties stating that AT&T was a five dollar stock when it was selling for fifteen and change. Being a gullible fool, I sold only to buy it back a few year later having missed out on dividends and the stock rise. Also, a few years back it was divulged that the average mutual fund investor had lost four thousand bucks that year while the fund managers had averaged four hundred thousand bucks in salary and bonus!
Me too. I love my Dish and my T-Mobile, I detest AT&T, anything they touch turns to something stinky. Had AT&T mobile, which was a formerly good service by SW Bell and Cingular. AT&T has horrible customer service, high priced, horrible mobile serivce. I will say they do provide hard wire service pretty efficiently, but high priced too.
The DVR is setup really nice and is easy to use. We love the music channels, CD and Sirius. I’m listening to Prime Country Christmas right now! :)
Count me as a Dish fan.
Directv has it all over Dish. Always giving me freebies for being a long time customer. Those I know who have had Dish always leave for Directv. AT&T I have had for over a decade and with iPhones and iPads—roll over minutes, excellent service and never a problem. I don’t hop around.
AT&T is already deeply involved with DirecTV the last I knew. http://www.att.com/gen/general?pid=7901
As for satellite TV service? I'm a happy DIRECT TV customer of nearly 10 years and it would take an awful lot to get me too switch back too DIDHNET. A nearby lightning burst hit my receiver a few month ago. In a few minutes they had my claim processed and another receiver delivered too my home within two days. Great rewards program also.
I would not use AT&T cellular if they gave it too me free. I use U.S. Cellular.
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