Could DIRECTV–Dish Network Merger Mean Cheaper TV Service?
We're eager to learn how customers could benefit
Oct 1, 2024 | Share 
Industry Exclusive/Entertainment, News
DIRECTV says its plan to purchase Dish Network could mean skinnier, cheaper TV packages for its customers.
If all goes as planned, Dish Network and DIRECTV customers will also have an easier time finding the shows and games they want to watch, according to a Sept. 30 press release from DIRECTV.
We don’t know yet whether customers will see cheaper deals or new set-top boxes, and we don’t know what may happen to the two-year contracts both companies require of new customers.
Randy Harward is a senior staff writer for CableTV.com, and he’s not optimistic long-term.
“If DIRECTV and Dish merge, it will form a monopoly on satellite TV service in the U.S., and monopolies are generally bad for consumers,” he says. “I would expect to see some cheaper introductory deals and maybe new packages at first. But if the government approves the deal, we’ll likely see higher prices and other sneaky practices down the road.”
We do know that DIRECTV will pay Dish Network just $1 in the proposed deal to acquire both Dish Network’s satellite TV network and its Sling streaming service. DIRECTV will also take on billions of dollars in debt.
Combined, Dish Network and Sling services reach more than 8 million subscribers, according to reporting from the Los Angeles Times. DIRECTV and DIRECTV Stream, meanwhile, reach about 10 million subscribers.
“This transaction is the right next step for DIRECTV as we advance our vision and continue to evolve our product to offer consumers the broadest array of content,” said Bill Morrow, CEO of DIRECTV. “Our team is the best in the business, and we are driven to provide innovative video services with an outstanding customer experience.”
The deal has been approved by the boards of directors of both companies and is expected to close in about a year, but it requires approval by Dish shareholders. It also requires approval by federal regulators.
What will change for satellite TV customers?
The companies plan to continue using both the DIRECTV and Dish Network names for existing customers, so you may not see billing or programming changes right away.
That’s true whether you access their services using a satellite dish on your roof or via the internet.
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What is the impact on Boost Mobile?
The financial details get pretty complicated, but it looks pretty rosy for Boost Mobile (owned by Dish parent company EchoStar). If the deal is completed, EchoStar will get out of a sticky debt situation and have the chance to focus all its energy on Boost Mobile and its new 5G mobile network.
That would free up Boost Mobile to focus on competing with other big mobile players like AT&T, T-Mobile, and Verizon. Boost Mobile also hopes to “further leverage its satellite assets and experience, including developing innovative direct-to-device (D2D) solutions, according to the statement from the company.
“Today’s strategic actions will advance our ability to aggressively compete in the U.S. wireless market,” said Hamid Akhavan, President and Chief Executive Officer, EchoStar. “Customers of legacy incumbents will be waking up and paying attention to our state-of-the-art network.”
It all comes just after the FCC (Federal Communications Commission) gave EchoStar a stamp of approval on its 5G buildout framework.
If that buildout goes as planned, Boost Mobile would have the fourth-largest 5G network in the U.S. Competition often means better service and lower prices for customers, and our fingers are crossed.
Should you cancel Dish Network services?
No, you don’t need to cancel your satellite TV service with Dish Network right away. The company will continue offering programming for the foreseeable future, and there’s a good chance you may face early termination fees if you try to leave.
If you’re not in a contract and have access to a powerful Wi-Fi connection, it’s a different story. You can get robust packages including live, local TV and sports from streaming services like YouTubeTV, and you won’t be locked into a contract or required to rent set-top boxes. Fubo is another popular option for cord cutters, and Sling is good for a lot of sports coverage.
Other companies, such as Verizon, Xfinity, and AT&T Fiber, offer streaming service subscriptions you can pair with internet services.
Whatever you decide, read the fine print carefully and compare deals and promotions.
Video services are hungry for your business, so make them work for it!
Author - Chili Palmer
Chili Palmer covers breaking news, satellite internet, mobile connectivity, and streaming services for HighSpeedInternet.com. Previously writing under the name Rebecca Palmer, Chili is passionate about providing accurate and accessible information any time you're trying to connect … whether you already speak geek or just got your first smartphone.
Editor - Jessica Brooksby
Jessica loves bringing her passion for the written word and her love of tech into one space at HighSpeedInternet.com. She works with the team’s writers to revise strong, user-focused content so every reader can find the tech that works for them. Jessica has a bachelor’s degree in English from Utah Valley University and seven years of creative and editorial experience. Outside of work, she spends her time gaming, reading, painting, and buying an excessive amount of Legend of Zelda merchandise.
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