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EchoStar (Dish Network) Shares Up on Talk of DirecTV Acquisition
Teleclick ^ | July 20, 2006

Posted on 07/20/2006 2:28:12 PM PDT by HAL9000

Shares of America’s #2 satellite television provider, EchoStar Communications, have hit 17-month highs in recent days amid speculation that leading rival, DirecTV Group Inc., could try to purchase the company.

Such a merger would likely face regulatory and antitrust hurdles, but many analysts believe that these problems would be relatively easy to overcome. After all, the combined entity could be a strong competitor in the triple play communications industry, now increasingly polarized between cable and telecom carriers.

The decision to merge with DirecTV would rest solely with Charlie Ergen, EchoStar’s Chairman, CEO, and co-founder, who currently controls more than 90% of the company’s voting shares.

“Charlie has three choices. He can be acquired by DirecTV (or) AT&T or do a leveraged buyout and take the company private,” commented Kaufman Bros. analyst, Todd Mitchell, in a recent interview. “If he takes the company private, he still hasn’t done anything about his competitive position.”

In recent years, EchoStar has been on a slow but steady decline, unable to attract enough new customers to maintain financial sustainability. It is becoming increasingly clear to analysts that EchoStar will have a hard time staying both independent and profitable in this highly competitive and volatile industry.



TOPICS: Business/Economy; Technical
KEYWORDS: directv; dish; dishnetwork; echostar; ergen; murdoch; satellitetv; television; tv
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1 posted on 07/20/2006 2:28:17 PM PDT by HAL9000
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To: HAL9000

DirecTV rocks.


2 posted on 07/20/2006 2:29:27 PM PDT by MikefromOhio
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To: MikefromOhio

It rocks - except for live news after midnight.


3 posted on 07/20/2006 2:31:20 PM PDT by HAL9000 (Get a Mac - The Ultimate FReeping Machine)
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To: HAL9000

Dishnetwork's HDTV lineup is significantly superior to that of DirctTV. DirectTV has better sports programming, although it also costs more. Dishnetwork is generally cheaper.


4 posted on 07/20/2006 2:33:00 PM PDT by sourcery (A libertarian is a conservative who has been mugged ...by his own government)
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To: HAL9000

I'm mostly not awake by then anyway.


5 posted on 07/20/2006 2:33:09 PM PDT by MikefromOhio
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To: MikefromOhio

I switched to it solely for NFL. The on-screen guide sucks compared to DISH, but I'll live with it.


6 posted on 07/20/2006 2:33:24 PM PDT by somemoreequalthanothers (All for the betterment of "the state", comrade)
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To: HAL9000

Wasn't this all but a done deal a couple years ago? What's different now?
BTW, I've had Primestar, DirecTV and Dish. Dish is better than Direct, IMHO.


7 posted on 07/20/2006 2:35:54 PM PDT by Past Your Eyes (Often wrong but never in doubt.)
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To: somemoreequalthanothers

yeah my parents have the old old old DirecTV models which has the old menus and whatnot.

Much better than what we have now.

My FIL has DISH and when I'm trying to find channels on it, I'm completely lost :)


8 posted on 07/20/2006 2:36:36 PM PDT by MikefromOhio
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To: MikefromOhio
DirecTV rocks.

Yes it does but DISH is currently running circles around it in HDTV content. Twice as many HDTV channels on DISH compared to DIRECTV. But I love my DIRECTV HDTV-TIVO.

9 posted on 07/20/2006 2:36:49 PM PDT by InterceptPoint
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To: InterceptPoint

yep.

I have every episode from the past South Park Season currently on my TIVO.

I'll probably get rid of one or two, but I love having that.

I have the 2005 OSU-Michigan game TIVO'd too.


10 posted on 07/20/2006 2:37:47 PM PDT by MikefromOhio
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To: MikefromOhio

>>DirecTV rocks.<<

DirecTV is the only place in the world to get genuine Tivos that record two things at once and don't need a seperate cable box. I couldn't ever go back.


11 posted on 07/20/2006 2:39:03 PM PDT by gondramB (The options on the table have been there from the beginning. Withdraw and fail or commit and succeed)
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To: HAL9000
I think this is funny, I had my choice of direct or dish 3 years ago and I chose dish because direct was failing and for sell.
12 posted on 07/20/2006 2:39:34 PM PDT by HuntsvilleTxVeteran ("Remember the Alamo, Goliad and WACO, It is Time for a new San Jacinto")
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To: rdb3; chance33_98; Calvinist_Dark_Lord; Bush2000; PenguinWry; GodGunsandGuts; CyberCowboy777; ...

13 posted on 07/20/2006 2:40:05 PM PDT by ShadowAce (Linux -- The Ultimate Windows Service Pack)
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To: HAL9000

Have had DirectTV for years and prefer it to cable in terms of clarity, choices, view options. On all of them, however, the number of paid programming 'shows' have sky rocketed. A broken record sound follows: why pay $50 plus a month for ads?


14 posted on 07/20/2006 2:40:35 PM PDT by bwteim (bwteim = Begin With The End In Mind)
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To: gondramB

LOL

yes it is.

I just rewired my entire house so the dish didn't look like a gypsy camp anymore.

The guy who wired it did it quick, probably too quickly.


15 posted on 07/20/2006 2:41:45 PM PDT by MikefromOhio
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To: sourcery

I agree DISH HD channels are better, but mine don't come in half the time!


16 posted on 07/20/2006 2:42:42 PM PDT by MrLee
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To: HAL9000

Oh I hope not, I've have both Direct TV and Dish (it's a long story) and Dish is head and shoulders above Direct TV. I'll be very sad if Charlie sells. Don't do it Charlie!


17 posted on 07/20/2006 2:44:57 PM PDT by pepperdog
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To: Past Your Eyes

HAL9000... Any tips for a person thinking about switching from cable to Dish? Time Warner is still increasing their rates so I'm looking into alternatives and Dish seems to be good.


18 posted on 07/20/2006 2:48:00 PM PDT by BigTex5
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To: somemoreequalthanothers

I switched to it solely for NFL


Dish has the NFL channel now. I hope they offer a cheaper price if they merge.


19 posted on 07/20/2006 2:49:29 PM PDT by wolfcreek (You can spit in our tacos and you can rape our dogs but, you can't take away our freedom!)
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To: HAL9000

If this happens then you will see prices shoot up even higher. So much for competition.


20 posted on 07/20/2006 2:49:42 PM PDT by Revel
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