Subject: General Tech | May 19, 2014 - 08:02 PM | Scott Michaud
Tagged: direcTV, att, AT&T
That silly AT&T is now acquiring companies other than the ones they shed off during the 1974 antitrust lawsuit. This time, it intends to acquire DirecTV in a deal valued at $48.5 billion USD, in stock. All said and done, the total transaction is valued at $67.1 billion. Currently, DirecTV sits at a market cap of 42.77 billion USD and the stock is trading in the range of 84 to 85 dollars per share. In this deal, shareholders will receive $95 per share, about 30% in cash and 70% in AT&T stock.
Owning the globe... trademark.
The deal also claims to have several benefits for consumers. AT&T pledges to add 15 million customer locations, mostly rural, with fiber and wireless local loop (microwave). They also pledge to follow FCC's Open Internet Order from 2010, for at least three years after closing.
Three years of Net Neutrality, fun.
Seriously, none of that has anything to do with DirecTV and it should be enforced, anyway. It is nice that Net Neutrality has become a buzz word, mostly in terms of people becoming aware to it, but an action would be significantly more helpful. Remember that we, at PC Perspective, host our own video streaming service for our podcasts and live events. We rely on our traffic reaching our audience.
But, of course, none of that has anything to do with DirecTV either. It is possible that they could give concessions to help the acquisition go through and, honestly, I am not too against this purchase, if viewed in isolation. Let's just hope that, like their split-up compromise, they don't immediately start undoing it when they think no-one's watching.
US Satellite TV provider DirecTV is upgrading its network and is preparing to deploy Ultra-HDTV services in the future. They are planning to offer both 4K and 8K direct to home streams of TV programming once their users have moved off of Ku band satellites and to Ka band, which the ITU World Radiocommunications Conference in Geneva has named the future carrier of U-HDTV streams.
According to the Advanced Television website, DirecTV is planning for a future transition to Ultra HDTV. Earlier this year, we covered a news article about a Panasonic plasma television that can display 8K images. It was developed in cooperation with Japanese TV broadcaster NHK, and it seems like North American providers are also looking towards these future standards.
DirecTV’s Senior Vice President of R&D and Space and Communications Philip Goswitz has stated that in four to five years, the service provider will likely end it’s Ku-band satellite transmissions as they are currently migrating DirecTV's customers to Ka-band services which has much more bandwidth (currently used for HDTV transmission) than Ku-band. In addition, the company is working on deploying Reverse Band Direct Broadcast Satellite (DBS) services.
Unfortunately, Goswitz did not state any hard numbers on when DirecTV might make the transition to Ultra-HDTV. The company did state its desire to implement it as soon as possible to keep a competitive edge over cable and IPTV (like AT&T’s Uverse) services. Some numbers being thrown around online indicate that Ultra-HDTV might be available in North America as soon as 2020, though Japan may see UHDTV signals much sooner thanks to Japanese broadcaster NHK heavily developing compression, transmission, and capture devices relating to UHDTV. NHK has managed in the past to compress a UHDTV signal to a 250 Mb/s MPEG2 stream, which is a huge feat considering the uncompressed signal is around 24 Gb/s!
Philip Goswitz was further quoted in stating "4000-line is exciting to us because of its image quality, and the potential for glasses-free 3D."
Compression and bandwidth are going to be the deciding factors in whether DirecTV and other satellite TV providers are able to deliver UHDTV signals to users’ homes. While 8K video sources are scarce themselves, 4K cameras do exist and are being used to film certain movies. 4K adoption is definitely coming–although it is still a few years out at least–and the UHDTV standard is ready to support 4K streams. Over the air and IPTV are the likely candidates for early 4K and 8K transmissions, but DirecTV seems ready dive it as soon as the compression technology, source material, and user adoption is there.
Image courtesy Chris Waits via Flickr Creative Commons