AT&T acquired DirecTV for $48.5 billion (actually $67.1 billion when you include DirecTV's debts) in cash and stock to make it the second-largest pay TV provider in the USA, behind the Comcast/Time Warner giant. In the US DirecTV offers bundling in the form of TV, Fixed line and Broadband via partnerships with 3rd parties such as Centurylink and Verizon.
In Trinidad and Tobago DirecTV is licensed to provide Subscription Broadcasting Service (direct from Satellite only) and this license expires on the 27th February 2016. DirecTV has not partnered with any local entity to provide at least similar services to what they offer in North America. Will DirecTV partner with local telecom providers to provide fixed line and broadband services? Lastly Cable and Wireless 49% shareholding in TSTT is on the market will AT&T be a good fit for TSTT?
I definitely think so. TSTT is better off private than public. Whilst the PNM Administrations are noted for not interfering heavily in state organisations and their boards have been more responsible and progressive than others, TSTT cannot afford another period where key stakeholders do not have its interests as priority. AT&T certainly has the deep pockets to afford the investment that TSTT needs to be successful, as well as the Management and operational expertise. This could be a very good solution to the TSTT dilemma.
ReplyDeleteI like the thought provoking questions...great food for thought!
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