More Pay-TV Consolidation? Dish Said to Approach DirecTV About Merger
Posted in: UncategorizedDish Network Chairman Charlie Ergen recently contacted DirecTV CEO Mike White to discuss a merger of the two satellite TV companies, according to several people with knowledge of the matter.
Mr. Ergen made the approach in response to Comcast Corp.’s plan to buy Time Warner Cable for $45 billion, one of the people said, asking not to be identified discussing confidential information. Mr. White is reluctant to push forward with formal talks out of concern regulators may block the deal because the two companies directly compete with each other, another person said.
DirecTV is the largest U.S. satellite-TV operator, with about 20 million paying subscribers. Dish is No. 2 with about 14 million subscribers, and also has a spectrum portfolio that may be valued at almost $26 billion, according to Bloomberg Industries. Dish has said it remains open to all options to monetize the U.S. airwaves, including building its own network or teaming up with an existing carrier, such as Verizon Communications Inc. or AT&T.
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