republican-creole
Search:  

 
 
   News
newer
story category WSJ Thinks Verizon Could Buy DirecTV
But all signs, as with AT&T, point to no...
08:38AM Monday Sep 28 2009 by Karl Bode
tags: Video · competition · business · bandwidth · cable
Based on apparently no substantive facts of any kind, the Wall Street Journal wonders if Verizon might have an interest in acquiring satellite TV juggernaut DirecTV. As recently discussed, Verizon CEO Ivan Seidenberg has stated his desire to make video the "core product" for its fixed-line business, and acquiring the company would make Verizon the second biggest TV player behind Comcast. But the Journal seems to forget that FiOS TV is pretty clearly the carrier's centerpiece, and the telco's been busy selling any rural markets that aren't nailed down. An AT&T acquisition of DirecTV has always been the rumor du jour, given they have more rural customers and less bandwidth for TV delivery, but that too has never materialized despite at least one rumor a year.

Related:
  1. Is BitTorrent Throttling a Network Neutrality Violation?
  2. Comcast Ramps Up The Bandwidth
  3. What's Behind Slow FiOS HD Deployment?
  4. Cablevision Ramps Up HD Availability
  5. Mark Cuban: Still Terrified of TV Competition
  6. Verizon Uses Your Forum Complaints Against Cablevision
  7. What Network Neutrality Is REALLY About
  8. There's Still No Evidence That Metered Billing Is Necessary
Forums » WSJ Thinks Verizon Could Buy DirecTV
view: topics flat text 
Post a:

battleop

join:2005-09-28
00000

Why bother?

"Based on apparently no substantive facts of any kind"

Then why bother to cover the story? Linking to the story (one that requires a subscription) only tells them to keep up good work and turn out more crap based on made up facts.
gopnick

join:2005-01-07
Benton, AR

Re: Why bother?

Not gonna happen. AT&T just ditched Dish and went to DirecTV. No way are they going to let Verizon buy up D*. If I were to link to an unsubstantiated rumor, I'd go for an AT&T purchase rather than VZW.

Cheese
Premium
join:2003-10-26
Naples, FL
clubs:

Re: Why bother?

said by gopnick See Profile :

Not gonna happen. AT&T just ditched Dish and went to DirecTV. No way are they going to let Verizon buy up D*. If I were to link to an unsubstantiated rumor, I'd go for an AT&T purchase rather than VZW.
And this is At&T's decision how? Do they own DTV? If not, they have no control over who purchases it.
gopnick

join:2005-01-07
Benton, AR
·Charter Pipeline
·AT&T DSL Service

Re: Why bother?

said by Cheese See Profile :

said by gopnick See Profile :

Not gonna happen. AT&T just ditched Dish and went to DirecTV. No way are they going to let Verizon buy up D*. If I were to link to an unsubstantiated rumor, I'd go for an AT&T purchase rather than VZW.
And this is At&T's decision how? Do they own DTV? If not, they have no control over who purchases it.
They *do* have the power to simply buy up all the stock.

OH - and furthermore, AT&T has a rural business plan. VZW does not.
hottboiinnc
ME

join:2003-10-15
Cleveland, OH
You mean VZ .... VZW is the Wireless Div.

lew_b

join:2003-05-11
Poughkeepsie, NY
Blue horseshoe loves Annacot Steel (or in this case D* TV)

TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast


1 edit
said by battleop See Profile :

Linking to the story (one that requires a subscription) only tells them to keep up good work and turn out more crap based on made up facts.
Read the whole story:
»www.google.com/url?q=http://onli···569.html

Since we are all speculating, maybe Qwest can buy DTV. They don't have any viable TV plan at all. This would give them one.
--
My BLOG .. .. Internet News .. .. My Web Page

rahvin112

join:2002-05-24
Sandy, UT

Re: Why bother?

Qwest also doesn't have any money. They can barely maintain their rapidly declining network, let alone purchase an asset that doesn't help their landlne or internet business at all.

TKJunkMail
Enjoy the sun
Premium
join:2002-03-03
Avalon, NJ
·Sprint Mobile Broa..
·Comcast

Re: Why bother?

said by rahvin112 See Profile :

Qwest also doesn't have any money. They can barely maintain their rapidly declining network, let alone purchase an asset that doesn't help their landlne or internet business at all.
Since when does not having the money stop a buyout or merger? They can just borrow it and use the assets of DTV as the collateral for the loan. See "Leveraged Buyout".
--
My BLOG .. .. Internet News .. .. My Web Page

rahvin112

join:2002-05-24
Sandy, UT

Re: Why bother?

And wall street would slaughter both Qwest's and Liberty Media's stock price for the attempt because the resulting business wouldn't have sufficient assets or revenue to fund continued operations down the road.

That's assuming of course that the banks would lend them the money for a leveraged buy out, that Liberty would go for a price Qwest could afford and that Liberty isn't already so heavily leveraged that a loan against future assets is even viable. IIRC Liberty is already heavily leveraged with near back breaking debt (a result of acquiring directv from Murdoch). IMO the biggest breaker to the deal is that the banks wouldn't lend Qwest the money, they KNOW Qwest has a rapidly declining business that's likely to be in bankruptcy in a few years anyway. Given that corporate lending is still hard to get because of the credit crisis, Qwest's ability to borrow the money is almost non existant without an outside infusion of cash (not a loan).

I personally think there are better chances pigs will evolve to fly before Qwest buys directv.
ashworth

join:2001-10-06
Pittsburgh, PA
VZ should buy Qwest and leave the "turd bird" alone.

Cheese
Premium
join:2003-10-26
Naples, FL
clubs:

Hmmmmm

No, verizon, you can't have DTV! Leave your hands off!

Boomerang86
Got FUD?
Premium
join:2002-10-18
VampireState
clubs:
·RoadRunner Cable
·VOIPo
·Time Warner VOIP

they don't need DTV

I still remember before the FioS rollout, when VZ was offering DirecTV bundles with their DSL product.

A lot of DTV customers live in FioS territory... seems silly for Verizon to own and manage two seperate delivery systems.
--
"I finish things... that's what I do." (Walter Kowalski, lead character in "Gran Torino")

tschmidt
Premium,MVM
join:2000-11-12
Milford, NH
·Hollis Hosting
·Verizon Online DSL
·Fairpoint Communic..

Re: they don't need DTV

Agree with others that Verizon is focused on FIOS so can't see why they would be interested in acquiring Direct TV.

I have no idea what negotiations with content owners is like. I'd think this type of acquisition would only make sense to a wireline carrier that wanted to offer video in a hurry but did not have deals with content owners.

/tom

aaronwt
Premium
join:2004-11-07
Woodbridge, VA
·Verizon FIOS

said by Boomerang86 See Profile :

I still remember before the FioS rollout, when VZ was offering DirecTV bundles with their DSL product.

A lot of DTV customers live in FioS territory... seems silly for Verizon to own and manage two seperate delivery systems.
Verizon still offers DirecTV bundles with their DSL.

nfotiua

@frb.org

Sunday Ticket?

Directv grew a lot of its business via Sunday Ticket. If they could offer Sunday ticket via FIOS as a result of a buyout, it would make FIOS a big player everywhere. There is a pretty big untapped market of people who want Sunday ticket, but don't want a dish. They could also move existing directv customers to a fiber connection, and drum up some internet/phone business. Having Sunday ticket would be a coup if they plan to expand into non-verizon territories. They'd also already have a built-in customer base with all those direct customers.

If they made a single brand video service that could be delivered either via fiber or dish depending on the needs of the consumer, they'd be a huge player, and would have great leverage with content provider negotiations.

Cheese
Premium
join:2003-10-26
Naples, FL
clubs:

Re: Sunday Ticket?

said by nfotiua :

Directv grew a lot of its business via Sunday Ticket. If they could offer Sunday ticket via FIOS as a result of a buyout, it would make FIOS a big player everywhere. There is a pretty big untapped market of people who want Sunday ticket, but don't want a dish. They could also move existing directv customers to a fiber connection, and drum up some internet/phone business. Having Sunday ticket would be a coup if they plan to expand into non-verizon territories. They'd also already have a built-in customer base with all those direct customers.

If they made a single brand video service that could be delivered either via fiber or dish depending on the needs of the consumer, they'd be a huge player, and would have great leverage with content provider negotiations.
How would it make it bigger? FIOS is only going to still be offered where it's available and places they already have plans for, it's not going to expand FIOS to NON VERIZON areas.

cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN

Re: Sunday Ticket?

said by Cheese See Profile :

How would it make it bigger? FIOS is only going to still be offered where it's available and places they already have plans for, it's not going to expand FIOS to NON VERIZON areas.
But having an alternative means of access opens up millions of new customers in markets Verizon doesn't currently have access to. I don't think it's a likely acquisition, but it's not out of the realm of a possibility, plus it does have some strategic advantages (as well as some disadvantages) too.

Cheese
Premium
join:2003-10-26
Naples, FL
clubs:

Re: Sunday Ticket?

said by cdru See Profile :

said by Cheese See Profile :

How would it make it bigger? FIOS is only going to still be offered where it's available and places they already have plans for, it's not going to expand FIOS to NON VERIZON areas.
But having an alternative means of access opens up millions of new customers in markets Verizon doesn't currently have access to. I don't think it's a likely acquisition, but it's not out of the realm of a possibility, plus it does have some strategic advantages (as well as some disadvantages) too.
It's still not going to offer FIOS to the non-Verizon areas.

cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN

Re: Sunday Ticket?

said by Cheese See Profile :

It's still not going to offer FIOS to the non-Verizon areas.
No, but it offers 20m potential customers, an large number of them in areas not currently serviced by FiOS.

Cheese
Premium
join:2003-10-26
Naples, FL
clubs:

Re: Sunday Ticket?

said by cdru See Profile :

said by Cheese See Profile :

It's still not going to offer FIOS to the non-Verizon areas.
No, but it offers 20m potential customers, an large number of them in areas not currently serviced by FiOS.
What in the hell are you talking about? I was commenting about this line

Directv grew a lot of its business via Sunday Ticket. If they could offer Sunday ticket via FIOS as a result of a buyout, it would make FIOS a big player everywhere

It's not going to "make FIOS a bigger player everywhere", if it's not a Verizon area, it's not going to affect FIOS one bit.

cdru
Go Colts
Premium,MVM
join:2003-05-14
Fort Wayne, IN

Re: Sunday Ticket?

Sorry. I misread it as making Verizon's TV market bigger, not FiOS specifically bigger. Buying DirecTV will do nothing for increasing FiOS's footprint.

If it were to happen though, it might allow NFL:ST to be available to FiOS customers giving those FiOS markets a competitive advantage over cable companies. And it would give Verizon access to millions of customers it doesn't have access to now.

caster5

@sbcglobal.net
so they want to be like foxtel? They do have 4 tuner boxes

skuv

@rr.com

NFL Sunday Ticket certainly isn't anything that millions of people are flocking for. Even the NFL Network isn't attracting that many sports package customers on Comcast, and Time Warner Cable knows they won't make any money on NFL Network, or they'd have negotiated with the NFL already to carry it.

The NFL Sunday ticket is one of those advertising gimmicks that hooks people, and once they get in to DirecTV, they aren't really willing to pay what it takes.

Verizon is going to spend billions to just make a few bucks on NFL Sunday ticket.

If this were a serious buy-out, it'd be for something else. And I can't see what Verizon would gain from this at all.

They obviously already have all the content negotiations done with video providers, or they wouldn't have a viable FiOSTV service that people would switch from cable for. So that wouldn't be an advantage they'd get with DirecTV. If anything, it would benefit the DirecTV side of the business, since they could almost immediately stop paying double for all of their content. But if that was the end game, then why acquire DirecTV at all?
Gumbyh

join:2009-09-28

Bring back DTV and Dish merger talks

I prefer to see DTV and DISH merge . It was scuttled due to anti trust knee jerkings of Bush Adminstration with bias toward obsolete cable companies. There is nothing DTV or DISH couldnt offer two way Internet access by satellite, but it costs money . That was why DTV and DISH needs to merge to gain the scales of economics necessary to join the Internet fray littered wtih phone companies, cable companies, DSL providers, etc. Only if there had already been more than two satellite companies, there would be nothing that can be used to stop DTV and DISH merger. Too bad, we have only two satetllite companies. Everyone ought to know that not practically anybody can launch a damn rocket to place a satellite out there. It is nose bleeding technology to launch a damn satellite out there. Anti trust ?? My nuts!!
EPS

join:2008-02-13
Hingham, MA

Re: Bring back DTV and Dish merger talks

There are satellite internet companies already... IIRC, didn't DirecTV own HughesNet at one point, only to sell it and thus leave the internet business?
rahvin112

join:2002-05-24
Sandy, UT

Re: Bring back DTV and Dish merger talks

DirecTV has had at least 2 internet companies I'm aware of. DirecTV DSL and HughesNet. DirecTV DSL was a conglomeration of a half a dozen different ISP's that offered service on the Frontier network before it bankrupted.

reply

@aol.com

I know , but I think Directv decided not to jump in the Internet or wireless data because the costs were too prohibitive. HughesNet is now Skyterra or something. Skyterra is bought by someone recently. I looked at those small outifts and concluded that they are not going to grow big as they caters strictly to field workers like geologists or biologists out in the wilderness. Directv can offer "satellite" Internet if it wants to, but I believe that in order to do so, it is logical to merge with Dish to improve the odds of succeeding in the "satellite" data or internet. There is a lot of people lviing out in the boonies especially in the West.
WhatNow
Premium
join:2009-05-06
Charlotte, NC

Look who owns WSJ

The WSJ of today is not the same WSJ under past owners. They no longer care about their reputation just their bottom line. "Substantive facts" facts take money to discover but wishful thinking is a cheap way to fill space.

dace1005

@verizon.net

Market Wise

i would look at the buyout like this .. Verizon is giving up Rural areas any chance it gets.If they was to buy out DTV they could offer t.v anywhere they want and will give them a bigger TV base. You cannot become a major TV player only serving cherry picked places. Also they can re brand DTV as Verizon Fios TV Anywhere?Everywhere!.

Me and you

@qwest.net

The same shit differnt Day

The same shit different Day. ( DTV, ATT, Verizon ......)

we will be paying them the same amount each month.
Forums » WSJ Thinks Verizon Could Buy DirecTV


Saturday, 21-Nov 05:41:36 Terms of Use | Privacy Policy | Hosting by www.nac.net - DSL,Hosting & Co-lo | feedback | contact
over 10 years online! © 1999-2009 dslreports.com.