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Rupert Murdoch considering DirecTV sale to Liberty (calls it a turd bird)

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Herman Munster Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Sep-14-06 10:48 PM
Original message
Rupert Murdoch considering DirecTV sale to Liberty (calls it a turd bird)
http://www.variety.com/VR1117950090.html

In a splattering blow to the satellite biz, Rupert Murdoch supposedly dubbed DirecTV a "turd bird" and is considering selling News Corp.'s controlling stake to Liberty Media. FCC chairman Kevin Martin on Thursday shot down another possible outcome for the satcaster. He indicated regulators still would be reluctant to greenlight a merger between DirecTV and smaller rival EchoStar.

News Corp. owns 38% of DirecTV, the nation's largest satellite provider. But Murdoch's been down on the business lately. Cablers are successfully rolling out a triple play of video, Internet and telephone -- service that satcasters can't easily match. DirecTV stock fell 3.23% Thursday to close at $19.19 after a Morgan Stanley analyst downgraded the shares.

A person close to the conglom said a DirecTV sale is being discussed as one of several possible ways to unwind Liberty's large stake in News Corp.

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Donnachaidh Donating Member (1000+ posts) Send PM | Profile | Ignore Thu Sep-14-06 10:51 PM
Response to Original message
1. here's a thought
Maybe DirecTV can offer sat links to countries that have REAL news. I for one, would subscribe. Anything to get away from Faux and ABC.
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davidwparker Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 12:32 AM
Response to Reply #1
2. I have Dish and periodically call them asking for CNN International.
This isn't supposed to be dumbed down because it is what the rest of the world sees.
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zbdent Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 06:54 AM
Response to Original message
3. Rather amusing note from Wikipedia
Liberty Media has a 20% interest in News Corporation ...

Incest, anyone?
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maine_raptor Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 07:00 AM
Response to Reply #3
4. Not Incest....Enron.....n/t
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onenote Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 07:05 AM
Response to Reply #3
5. the proposal involves trading the 20% for DirecTV
Murdoch gets back the 20% of News Corp. owned by Liberty and Liberty gets DirecTV.
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grateful581 Donating Member (760 posts) Send PM | Profile | Ignore Fri Sep-15-06 02:14 PM
Response to Original message
6. I'm all for it
I hate supporting newscorp just because I have directv.

FU** Newscorp and rupert murdoch
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cascadiance Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 06:10 PM
Response to Original message
7. Perhaps he's seeing that his efforts to shut down Dish aren't working!
Edited on Fri Sep-15-06 06:21 PM by calipendence
I've been bringing up here many times recently a lot of what have appeared to have been efforts to either swallow up Dish Network or tear it down as competition to DirecTV. He's:

1) Made rumors about a month or so ago that he wanted to have NewsCorp/DirecTV buy out Echostar (Dish Network). That didn't seem to work the way he wanted it to (perhaps because enough of us called folks like Bernie Sanders to put up the red flag this was going on).
2) Tivo, who Newscorp formally has had a lot of investment by Newscorp/DirecTV in, and still has over half of its customers using DirecTV-based Tivo machines has been after Dish Network legally for patent infringements, even though DirecTV has it's own "infringers" (NDS) now that they aren't emphasizing Tivo boxes any more.
3) Many local broadcasters have sued Dish Network for carrying distant network affiliates instead of local ones the way that FCC rules require. Dish Network was about to work out a deal with all of these affiliates except those owned by Fox (Newscorp owned of course). Fox affiliates (JUST the ones owned by Fox/Newscorp) were making a big stink of not doing a deal with Dish Network and trying to sabotage the whole deal. The two Colorado senators (both Republican and Democrat) asked the Justice Committee to investigate why this was going on against Dish Network (which is headquartered in their state).
4) A lot of rumors that Dish Network may be better equipped with High Def receivers and other related equipment in the not too distant future that in addition to receiving satellite signals will decode local HD signals from local TV stations. My guess is that this is why Dish Network wasn't as diligent about getting local signals uplinked on its satellites in every area, since it's just a matter of time before all localities will be broadcasting in HD and they will be well equipped for that.
5) The wireless deal that he was trying to do with Dish Network and DirecTV together fell through too. Another attempt at vertical consolidation not working to his liking.
6) XM Satellite radio (also with strong ownership by Newscorp) wasn't able to buy out it's competitor Sirius a year ago or so, and hasn't been able to push them down the ladder either. My guess is that had he gotten either a radio or TV satellite monopoly in place, he would have tried to consolidate that with the other entity to make a bigger monster for the remaining competitor to battle (whether it was Sirius or Dish Network).

Perhaps Rupert Murdoch is now seeing the writing on the wall, and that this is a battle that he can't win the way he wants to win it. I really hope so. I'm really happy with my Dish Network set up, and don't want to lose channels like Link TV or Free Speech TV which I couldn't get on cable if I had to switch to that.

Even though you have this vertical monopolies starting to be built with cable, phone, and other local broadband services merging together that is happening with the current congress, perhaps he senses that this is not going to last much longer, if and when we get a Democratic Congress in place, which will want to be more hard-nosed on such media vertical consolidation from happening, etc. too.

http://www.euro2day.gr/articlesfna/20845808/

It also looks like he's having a harder time getting more firm control over Newscorp stock holdings as John Malone's 19% ownership has gotten in the way.
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Rosco T. Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Sep-15-06 06:17 PM
Response to Reply #7
8. Ahem.. incorrect...
"6) XM Satellite radio (also with strong ownership by Newscorp) wasn't able to buy out it's competitor Sirius a year ago or so, and hasn't been able to push them down the ladder either. My guess is that had he gotten either a radio or TV satellite monopoly in place, he would have tried to consolidate that with the other entity to make a bigger monster for the remaining competitor to battle (whether it was Sirius or Dish Network)"


Newscorp DOES NOT HAVE STRONG OWNERSHIP IN XM.
Please don't spread this Red Herring around. It's in the same category as "Clear Channel owns XM" that Turd has long since been disproved, dont' start another one.

XM Investors Holding http://finance.yahoo.com/q/mh?s=XMSR

(and don't tout anything lounging on XM's website.. just like most major corp's, they don't update in a timely manor)
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