DirectTV is going to offer more channels on its platform as a result of merger with DirecTV
DirectTV Entertainment and Directv have entered into a definitive agreement to merge the cable provider’s entertainment business.
The deal, which will create a standalone video-on-demand service called DirecTv, was first reported by The Wall Street Journal.
DirecTV Entertainment will continue to offer all the channels on Direc TV’s network and will also have access to Direc Networks’ popular content like HBO, CNN, CNN Originals, FX, Starz and USA.
A new $50 billion Direcv business is expected to be created, and the company’s share price will increase to $17.40.
The merger will bring a combined value of more than $20 billion to Direv Entertainment.
We look forward and will execute as a unit with our team to help Direc’s customers, shareholders and the wider industry thrive. “
This is a historic day for the industry and for the American people.
We look forward and will execute as a unit with our team to help Direc’s customers, shareholders and the wider industry thrive.
We will continue our mission to offer the best possible customer experience and to deliver innovative content for our customers and partners.”
The deal comes at a time when the industry is facing some tough competition from Netflix and Amazon.
Earlier this year, the company struck a deal to acquire Amazon.com Inc’s video streaming business for $13.8 billion, but the deal fell apart.
While Direc has yet to reveal how many customers it will have, Marcus told reporters that the service will be available to 1.2 billion households, about 50% of Direc subscribers.
DirerTV said the merger will create more than 3,200 jobs.