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Satellite Tv By Direct Tv Deals A Blow To Marriage Problems
By John Hutchinson, Sat Dec 10th
Your family may be amazed to learn that television is one of themain causes of domestic disputes in America. Either the husbandis so captivated by a sports program that induces the wife toharass Read more...

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Directv And Dish Network Merger
By Gary Davis, Sat Dec 10th

DirecTV and DISH Network Merger

By Gary Davis

Dish-Network-Satellite-TV.ws

Webmasters: You may reprint this article in its entirety,providing you leave the Byline and About the Author sectionsintact, including the links to Dish NetworkSatellite TV.


It was in October 2001 that General Motors Hughes (Parentcompany of Direct TV) and EchoStar Communications Corp., traderof DishNetwork agreed to a merger. The new company would haveimproved the services for satellite TV clients by adding many HDTVchannels and local channels would then be available to all satellite TVviewers.

However, the US Department of Justice blocked themerger.

Why did they do that?

  • The merger would create a monopolyposition
When merged the new company wouldserve all of the United States without any competition. As weall know, competition spurs progress and a merger wouldbasically result in less progress. At the present time about 25to 35 million homes do not have access to cable TV services.Those people have the choice between 2 satellite TVcompanies. The merger would reduce this to just 1 company, whichclearly is a monopoly position that is not allowed. Even inareas with cable TV the merger would result in just 2 providers,of which each has a monopoly on its own technology. Further,EchoStar claimed that the merger was needed to be able tocompete against the cable TV Giants. However, satellite TV wasgrowing very fast while cable TV was loosing clients. Out ofevery 3 new cable/satellite

TV clients, 2 would go for satelliteTV.

  • EchoStars proposed self-regulationdoes not compensate for the basic monopoly issues
EchoStar and Hughes promised local TV programming to all210 TV markets. However, the day after this promise, EchoStarasked the Supreme Court to overturn a law that required localcarriage. They said they had no intention to carry all channelswith the new company. At the time, local channels were availablein just 41 markets while the 2 companies together already hadthe technology available to provide local programming in all 210markets. A competitive market is more likely to speed up theseservices than a self regulated monopoly.

A proposed nationalpricing plan that would guarantee that prices would be the samein both rural and urban areas was also not accepted as pricescould be set too high.

The merger would create a monopolyposition for broadband internet services.

In areas that are not served by DSL or cable, the onlyalternative to broadband internet services is via satellite. Themerger would create a monopoly for broadband internet servicesin these areas.

Over all it seemed that without any othersatellite TV providers a merger of the 2 companies was notpossible. The public’s interest was just not served by a merger(or at least not enough).

Some markets just don’t have muchcompetition because of their nature. Satellites are expensive tobuild, put into orbit and operate. The fact that there are 2providers and not just 1 is a blessing for the public andeveryone can make a choice. Of course we at Dish-Network-Satellite-TV.ws believe that the choice is easy. Dish NetworkSatellite is our preferred choice.

About the author:Gary Davis is owner of Dish NetworkSatellite TV, has several years experience in the SatelliteTV Industry and has written several articles on satellite TV.


 


 

 
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About inverto black pro with feedhorn
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Are satfinders worth the money? Need help with dish alignment.
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DreamBox stop dispaying the contents
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Dark Motor Superior question
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What tuner inside DRX890?
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Today we celebrate polar3500
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Ideas on installation
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rtl on 13e
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Sunday?s Happy Birthday
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