AT&T linked with USD40bn deal for pay-TV giant DirecTV

1 May 2014

US telecoms behemoth AT&T has approached satellite TV giant DirecTV regarding a potential USD40 billion takeover, the Wall Street Journal has reported. AT&T already has a reseller partnership with DirecTV to sell its service in areas where it offers broadband connectivity, but does not currently offer its U-verse-branded IPTV service.

The acquisition of DirecTV would give AT&T a national pay-TV footprint at a time when the telco sees video delivery as a core component of its future plans. DirecTV is the second biggest pay-TV operator in the United States – behind cableco Comcast – and serves around 20 million customers.

United States, AT&T