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DirecTV Acquisition Rumors Won’t Go Away

at&tThe rumors are still lingering that AT&T wants to purchase DirecTV.  Both parties are saying that they are not in talks and that neither is interested in merging.  But we’ve heard that one before…both CEOs claim that there is no strategic advantage to join forces.  With Comcast gaining more power, smaller companies will have to combine forces to keep up.  DirecTV isn’t small but you get the picture.

DirecTV is the nation’s largest satellite provider and is already partnered with AT&T as well as Qwest Communication, based in Denver.  These partnerships allow for voice, video, and internet bundles for customers in smaller areas, a solid alternative to the normal fiber optic network.

DirecTV, the nation’s largest satellite TV company, already partners with both telcos, and also with Denver-based Qwest Communications International Inc. It provides TV for each of their voice-video-Internet service bundles outside small areas where the telcos offer TV over their own fiber optic network.  Owned by Liberty Media, the company has keenly placed their CEO on the DirecTV board.  This allows them to indirectly seek the same outcomes and provides for some collaboration.  Shareholders in Liberty Media’s stock saw their holdings become direct, 52 percent ownership of DirecTV after the company’s spinoff.  This led to even more speculation that DirecTV would be bought by either AT&T or Verizon.  Being bought out by Verizon doesn’t makes sense though because they cannot offer television nationwide.

While these are all rumors and speculation, they do come true sometimes.  You never know what will happen in those boardrooms.

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