Showing posts with label DirecTV. Show all posts
Showing posts with label DirecTV. Show all posts

Wednesday, March 7, 2018

AT&T looks to IPO of minority stake in DIRECTV Latin America

AT&T filed a registration statement with the U.S. Securities and Exchange Commission for a potential initial public offering (IPO) of a minority interest in the Class A common stock of Vrio Corp., a holding company for its Latin American digital entertainment services unit, DIRECTV Latin America.

Thursday, June 9, 2016

Intelsat 31 Successfully Launched

Intelsat 31 was successfully launched aboard an International Launch Services (ILS) Proton Breeze M rocket from the Baikonur Cosmodrome in Kazakhstan.

Intelsat 31 is a 20-kilowatt class Ku-and C-band satellite built by Space Systems Loral (SSL). The Ku-band payload, known as DLA-2, is designed to provide redundancy for DIRECTV Latin America’s distribution services in South America and the Caribbean. The C-band portion enhances Intelsat’s existing C-band service infrastructure serving Latin America.

http://www.khrunichev.com
http://www.intelsat.com

Friday, July 24, 2015

AT&T Completes Acquisition of DIRECTV

AT&T completed its acquisition of DIRECTV, making it the largest pay TV provider in the United States and the world, providing service to more than 26 million customers in the United States and more than 191 million customers in Latin America, including Mexico and the Caribbean. Additionally, AT&T has more than 132 million wireless subscribers and connections in the U.S. and Mexico; offers 4G LTE mobile coverage to nearly 310 million people in the U.S.; covers 57 million U.S. customer locations with high-speed Internet; and has nearly 16 million subscribers to its high-speed Internet service.

DIRECTV shareholders received 1.892 shares of AT&T common stock, in addition to $28.50 in cash, per share of DIRECTV.

AT&T said the DIRECTV acquisition significantly diversifies itsrevenue mix, products, geographies and customer bases. As a result of this acquisition, as well as AT&T’s acquisition of Iusacell and Nextel Mexico, AT&T expects that, by the end of 2015, its largest revenue streams will be, in descending order: Business Solutions (both wireless and wireline); Entertainment & Internet; Consumer Mobility; and International Mobility and Video.

“Combining DIRECTV with AT&T is all about giving customers more choices for great video entertainment integrated with mobile and high-speed Internet service,” said Randall Stephenson, AT&T chairman and CEO. “We’ll now be able to meet consumers’ future entertainment preferences, whether they want traditional TV service with premier programming, their favorite content on a mobile device, or video streamed over the Internet to any screen.

“This transaction allows us to significantly expand our high-speed Internet service to reach millions more households, which is a perfect complement to our coast-to-coast TV and mobile coverage,” Stephenson said. “We’re now a fundamentally different company with a diversified set of capabilities and businesses that set us apart from the competition.”

In approving the deal, the FCC imposed a number of conditions that will extend for four years, including:


  • Fiber to the Premises (FTTP) Deployment. Recognizing that the merger reduces AT&T-DIRECTV’s incentive to deploy FTTP service, the Commission adopts as a condition of this merger the expansion of FTTP service to 12.5 million customer locations. This condition also responds to the harm of the loss of a video competitor in areas where AT&T and DIRECTV had directly competed before the merger by providing a pathway for increased competition from services that rely on broadband Internet to deliver video.
  • Gigabit Service to E-rate Eligible Schools and Libraries. In addition, to ensure that schools and libraries also benefit from expanded fiber deployment to consumers and institutions, the Commission is also requiring AT&T-DIRECTV to offer gigabit service to any E-rate eligible school or library where AT&T-DIRECTV deploys FTTP service.
  • Non-Discriminatory Usage-Based Practices. Recognizing that AT&T is the only  major ISP that applies “data caps” across the board to all of its fixed broadband customers and that this merger increases the incentive of AT&T-DIRECTV to use strategies that limit consumers’ access to online video distribution services in order to favor its own video services, the Commission requires AT&T-DIRECTV, as a condition of this merger, to refrain from imposing discriminatory usage-based allowances or other discriminatory retail terms and conditions on its broadband Internet service.
  • Internet Interconnection Disclosure Requirements. Recognizing the importance of interconnection to the operation of online video services, the Commission also requires as a condition of this merger that AT&T-DIRECTV submit its Internet interconnection agreements so that the Commission may monitor the terms of such agreements to determine whether AT&T-DIRECTV is denying or impeding access to its networks in anticompetitive ways through the terms of these agreements.
  • Discounted Broadband Services for Low-Income Subscribers. While finding that the availability of better and lower priced bundles of video and broadband service is a potential benefit of the merger, the Commission also concludes that the public interest requires us to ensure that a bundle of video and broadband services is not the only competitive choice for low-income subscribers who may not be able to afford bundled services. The Commission accordingly requires as a condition of the merger that AT&T-DIRECTV make available an affordable, low-price standalone broadband service to low-income consumers in its broadband service area.
  • Compliance Program and Reporting. Given the important role that these conditions serve in securing the public interest benefits of the merger, the Commission requiresthat AT&T-DIRECTV retain both an internal company compliance officer and an independent, external compliance officer that will report and monitor, respectively, the combined entity’s compliance with all conditions of the merger. 


Some other notes on the transaction:

AT&T announced that John Stankey will be CEO of AT&T Entertainment & Internet Services, responsible for leading its combined DIRECTV and AT&T Home Solutions operations. Stankey will report to Stephenson. DIRECTV President, Chairman and CEO Mike White announced his plans to retire.

AT&T is also developing unique video offerings for consumers through, among other initiatives, its Otter Media joint venture with The Chernin Group. The joint venture was established to invest in, acquire and launch over-the-top (OTT) video services. This includes its purchase of a majority stake in Fullscreen, a global online media company that works with more than 50,000 content creators who engage 450 million subscribers and generate 4 billion monthly views.

http://about.att.com/story/att_completes_acquisition_of_directv.html


  • DIRECTV first launched its satellite-based TV service in 1994.
  • DIRECTV operates a fleet of twelve geosynchronous satellites, including eleven owned satellites and one leased satellite. These include six Ku-Band satellites at the following orbital locations: 101 WL (three), 110 WL (one), 119 WL (one), 95 WL (one-leased), and six Ka-Band satellites at 99 WL (three) and 103 WL (three) orbital locations. The company has contracted for the construction and launch of one new satellite, D15, which is to launch in 2015 and provide additional HD, replacement and backup capacity


Wednesday, July 22, 2015

FCC Eyes Residential Fiber Build-out as Condition for AT&T/DirecTV Deal

FCC Chairman Tom Wheeler has circulated a draft recommendation to his fellow FCC commissioners recommending that the AT&T/DirecTV transaction be approved with conditions concerning future fiber rollouts by AT&T. Namely, Wheeler would like 12.5 million customer locations to have access to a competitive high-speed fiber connection -- an additional build-out that is about 10 times the size of AT&T’s current fiber-to-the-premise deployment.

In a press statement, Wheeler also wrote that "the conditions will build on the Open Internet Order already in effect, addressing two merger-specific issues. First, in order to prevent discrimination against online video competition, AT&T will not be permitted to exclude affiliated video services and content from data caps on its fixed broadband connections. Second, in order to bring greater transparency to interconnection practices, the company will be required to submit all completed interconnection agreements to the Commission, along with regular reports on network performance. Importantly, we will require an independent officer to help ensure compliance with these and other proposed conditions. These strong measures will protect consumers, expand high-speed broadband availability, and increase competition.”

https://www.fcc.gov/document/chairman-wheeler-recommendation-concerning-attdirectv-transaction

Sunday, May 18, 2014

AT&T's Bid to Acquire DIRECTIV Brings Subscribers, Content, Cash Flow

AT&T reached a deal to acquire DIRECTV in a stock-and-cash transaction for $95 per share based on AT&T’s Friday closing price, comprising  $28.50 per share in cash and $66.50 per share in AT&T stock. The implied total equity value is $48.5 billion and the total transaction value is $67.1 billion, including DIRECTV’s net debt.


Some key points:
  • DIRECTV has over 20 million satellite-TV customers in the United States and more than 18 million customers in Latin America.
  • DIRECTV has premier content, particularly live sports programming. It has the exclusive pay TV rights to NFL SUNDAY TICKET, ownership of ROOT SPORTS Networks and minority stakes in the Game Show Network, MLB Network, NHL Network and the Sundance Channel.
  • DIRECTV will continue to be headquartered in El Segundo, California, after the deal closes.
  • AT&T expects cost synergies to exceed $1.6 billion on an annual run rate basis by year three after closing. The expected synergies are primarily driven by increased scale in video.
  • To facilitate the regulatory approval process in Latin America, AT&T intends to divest its interest in América Móvil. 

AT&T also announced a number of promises to help achieve regulatory approvals, including:

  1. expanding it broadband network to 15 million more places beyond those already targeted by Project VIP
  2. a commitment to offer broadband service at rates of at least 6 Mbps for customers who want only over-the-top (OTT) service
  3. a commitment to offer DIRECTV’s TV service on a stand-alone basis at nationwide package prices for at least 3 years
  4. a continued commitment for three years after closing to the FCC's Open Internet protections established in 2010, irrespective of whether the FCC re-establishes such protections for other industry participants following the DC Circuit Court of Appeals vacating those rules and
  5. a commitment to meaningfully participate in the FCC’s planned spectrum auctions later this year and in 2015. AT&T intends to bid at least $9 billion in connection with the 2015 incentive auction provided there is sufficient spectrum available in the auction to provide AT&T a viable path to at least a 2x10 MHz nationwide spectrum footprint. 

"This is a unique opportunity that will redefine the video entertainment industry and create a company able to offer new bundles and deliver content to consumers across multiple screens – mobile devices, TVs, laptops, cars and even airplanes. At the same time, it creates immediate and long-term value for our shareholders,” said Randall Stephenson, AT&T Chairman and CEO.

“DIRECTV is the best option for us because they have the premier brand in pay TV, the best content relationships, and a fast-growing Latin American business. DIRECTV is a great fit with AT&T and together we’ll be able to enhance innovation and provide customers new competitive choices for what they want in mobile, video and broadband services. We look forward to welcoming DIRECTV’s talented people to the AT&T family."

http://about.att.com/story/att_to_acquire_directv.html

Wednesday, July 11, 2012

DIRECTV Drops Channels in Viacom Dispute

Viacom dropped its networks from DIRECTV at approximately midnight EDT as the companies failed to reach a carriage agreement. This includes popular channels such as Nickelodeon, MTV, Comedy Central and 14 others.

"We have been very willing to get a deal done, but Viacom is pushing DIRECTV customers to pay more than a 30 percent increase, which equates to an extra $1 billion, despite the fact that the ratings for many of their main networks have plummeted and much of Viacom's programming can be seen for free online," said Derek Chang, DIRECTV executive vice president of Content, Strategy and Development.
http://www.directv.com

See also