|
PureBytes Links
Trading Reference Links
|
Jim Greening:
If memory serves me right, a few weeks back it was announced that GMH was
going to purchase US Satellite Broadcasting. Last week, GMH announced it would
purchase the high powered satellite assets and medium powered DBS business
from PrimeStar including rights to their 2.3 million customer base. With that,
GMH and DISH (Echostar) will be the only two companies in the satellite TV
business. Further, by year end, both will be able to broadcast local TV
signals into the 1200 primary markets. (Currently prevented by previous
FTC/FCC rulings favoring the Cable TV coverage of local markets.)
As a Cable TV customer in the Greater NYC area, I can't wait. We've been hosed
by the Cable companies over the years and I'm ready to jump. (I could do this
now except my wife insists on local TV coverage <G>.) Another factor has been
the township ordinance against satellite dishes which until just recently, now
accepts the smaller type dish like that of Direct TV. Direct TV is price
completive with cable in this area except for the one time cost of the dish. I
expect price competition will get intense when the FTC/FCC pulls the plug and
permits local access.
I've been watching both GMH and DISH for an entry point as well. IMHO, they
need a little time to consolidate at current levels or pullback somewhat after
their recent run up. That is the reason I believe both were soft yesterday as
the market stormed ahead.
Good luck and good trading,
Jim Barone
|