The two major satellite television providers, DISH and DirecTV recently teamed up with WildBlue, a satellite-broadband service provider. Al Boschulte, Chairman of Probe Financial Associates, and former CEO of NYNEX Mobile (now part of Verizon Wireless) thinks that the deal is pretty limited in its scope, and the two companies should team-up with T-Mobile and add a bigger footprint in their battle against the wired incumbents – the cable and phone companies.
“This deal probably potentially affects no more than about 20% of DTV’s customers in rural areas …. The big move into broadband by the DBS carriers is yet to come…..T-Mobile should really be looking to see if it can participate in perhaps a three-way deal, with the DBS carriers and perhaps a wireless broadband network provider. They have an opening.”