Washington, D.C.
(May 2, 2007) --
Liberty Media Chairman John Malone will soon take control of
satcaster DIRECTV, but he appears unconcerned about the threat
of new TV competition from telcos AT&T and Verizon.
According to The Denver Post, Malone said yesterday that the telcos will not have the bandwidth via Digital Subscriber Lines (DSL) to handle the growing consumer demand for High-Definition TV services.
"DSL ... has limited capacity, I don't believe it will be enough to satisfy the demand for video. It ain't going to cut it," Malone said
According to The Denver Post, Malone said yesterday that the telcos will not have the bandwidth via Digital Subscriber Lines (DSL) to handle the growing consumer demand for High-Definition TV services.
"DSL ... has limited capacity, I don't believe it will be enough to satisfy the demand for video. It ain't going to cut it," Malone said
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AT&T, Qwest and Verizon are rolling out new TV services around the country to enhance their Internet and voice offerings. AT&T provides nearly 30 high-def channels while Verizon has about the same, both totals surpassing DIRECTV's current HD lineup.
However, DIRECTV is slated to launch two new satellites later this year to expand its national HD lineup to 100 channels.
Rather than using DSL, Verizon is actually using fiber-optic lines for its FiOS TV service. It's unclear if Malone is including Verizon in his conclusion that the telcos will not have the bandwidth to provide sufficient high-def services.
However, he said Verizon and other telco TV services will "take a beating" in some markets
Malone's Liberty Media is scheduled to take control of DIRECTV later this year in a stock swap with current parent News Corp. There has been speculation that he will sell the satellite TV service after the sale is completed, perhaps to a telco.
Yesterday, he seemed to fuel the notion that the telcos will have to buy their way into the TV category.
"They're going to have to bite the bullet and buy a cable company or spend a lot of capital," he said, according to The Denver Post.
Click TVPredictions.com to see today's Swanni Sez.
© TVPredictions.com
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AT&T, Qwest and Verizon are rolling out new TV services around the country to enhance their Internet and voice offerings. AT&T provides nearly 30 high-def channels while Verizon has about the same, both totals surpassing DIRECTV's current HD lineup.
However, DIRECTV is slated to launch two new satellites later this year to expand its national HD lineup to 100 channels.
Rather than using DSL, Verizon is actually using fiber-optic lines for its FiOS TV service. It's unclear if Malone is including Verizon in his conclusion that the telcos will not have the bandwidth to provide sufficient high-def services.
However, he said Verizon and other telco TV services will "take a beating" in some markets
Malone's Liberty Media is scheduled to take control of DIRECTV later this year in a stock swap with current parent News Corp. There has been speculation that he will sell the satellite TV service after the sale is completed, perhaps to a telco.
Yesterday, he seemed to fuel the notion that the telcos will have to buy their way into the TV category.
"They're going to have to bite the bullet and buy a cable company or spend a lot of capital," he said, according to The Denver Post.
Click TVPredictions.com to see today's Swanni Sez.
© TVPredictions.com
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Phillip Swann is
president and publisher of TVPredictions.com. He has been quoted in
dozens of publications and broadcast outlets, including CNN, Fox
News, Inside Edition, The New York Times, The Washington Post, The
Chicago Tribune, The Financial Times, The Associated Press and The
Hollywood Reporter. He can be reached at
swann@tvpredictions.com
or at 703-505-3064.
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