Closing Liberty Media’s $12 billion deal for a 41% share of DirecTV took more than a year, but positioning the satellite-TV service to rival telcos and cable companies offering triple-play packages of TV, phone, and broadband could be a bigger test, reports the Wall Street Journal today. The deal with News Corp was finalized yesterday after the FCC OK’d it.
The satellite-TV industry, hamstrung by an inability to provide cheap phone and Internet service, has seen its growth slowed as telephone and cable companies offer full-service packages to homeowners at competitive prices. Liberty execs contend DirecTV’s HD programming and sports offerings puts them in a strong position. This year DirectTV launches on-demand video over the Internet, a response to cable pressure.