Satnews Daily
February 14th, 2011

Di$h-ing It up Rumors On The Street Of The Purchase Of DishTV


[SatNews] There have been rumors of Dish Network being purchased. And with each rumor the stock reacts, the most recent was Credit Suis. Most recently this rumor created shares to climb nearly 6 percent on Thursday after Credit Suisse issued a research note discussing AT&T's possible interest in buying the satellite company.

AT&T may be interested in Dish, Credit Suisse analyst Jonathan Chaplin shared. "What AT&T believes, I think, is if you bundle Dish and AT&T wireless on a national basis, that would reduce churn for all products and potentially drive penetration," Chaplin said.

Because customers are cutting their costs with home-phone lines and the wireless industry becomes increasingly competitive AT&T may be looking for more ways to increase customer loyalty and expand its U-verse,TV and Internet services. Dish founder and CEO Charles Ergen, who is also the CEO of EchoStar Communications has been increasing the company's efforts to acquire spectrum assets. Dish recently announced that it will acquire satellite operator DBSD for about $1 billion. Now, AT&T could be willing to pay more than $20 billion for Dish and EchoStar.