News and Reviews.....

CHANGE MODE    August 2001

ECHOSTAR makes a $32B bid for Direct TV. The satellite industry is in a change mode. Right now there are two main small dish providers, Direct TV, a General Motors / Hughes Electronics Company... and Dish Network, an Echostar Company. The bidding for Direct TV is being done by News Corporation  which is owned by Rupert Murdoch and Echostar which is owned by Charlie Ergen. The inside word is that Hughes Electronics is trying to merge with SkyGlobal Networks, which is owned by Murdock. If that happens it is said that Mr. Ergen might have to give up his business. Ergen fired around the end and submitted his bid directly to General Motors. All in all it seems a long shot that Mr. Ergens bid will succeed. Stay Tuned Folks.

In another area, Echostar has rejected many MUST-CARRY bid requests from local TV stations. A must carry provision in the federal Satellite Home Viewer Improvement Act requires any direct-broadcast satellite provider that offers local broadcast television signal in a given market to extend coverage to any other broadcaster in that market who request the service. The full must carry mandate starts January 1, 2002. The Federal Communications Commission might be forced to resolve.