Dish (DISH) Wants to Be Everything You Ever Dreamed Of... and More (NFLX) (VZ)
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Dish Networks (Nasdaq: DISH) may be having an identity crisis.
Recently, it bought up the defunct assets of Blockbuster in a $320 million deal. Additionally, Dish has spent about $3 billion on acquiring more broadband spectrum.
Why?
Because it wants to be more like Netflix (Nasdaq: NFLX). Nay, it wants to be better than Netflix. And Verizon (NYSE: VZ), Sprint (NYSE: S), and Clearwire (Nasdaq: CLWR).
CEO Joe Clayton doesn't see a problem with that. In a recent LA Times report, Clayton stated, "We are putting together the building blocks to be able to provide a whole suite of services to the customer...wireless voice, broadband, video, mobile...we're going to have the capability to do all of the above."
Clayton, formerly with Sirius (Nasdaq: SIRI) and DirecTV (NYSE: DTV), wants to transform Blockbuster into a streaming service to compete more wholly with Netflix. Clayton says Dish already has access to the studios and libraries to make it happen. The exec also thinks Hollywood would welcome more competition.
Clayton may be aiming for Best Buy (NYSE: BBY), hhgregg (NYSE: HGG), RadioShack (NYSE: RSH), and Wal-Mart (NYSE: WMT) as well. For the 1,500 to 1,700 Blockbusters expected to stay open, Clayton says they will be used for DVD rental and sales outlets, as well as a promotional tool for Dish Network offerings, and potentially sales of other consumer electronics.
With Dish's broadband ambitions, some believe it's unlikely to go too far, and most of it may end up being sold to the government.
Dish is 2.5 percent lower on the session. Shares are up about 22 percent since closing on the Blockbuster acquisition.
Recently, it bought up the defunct assets of Blockbuster in a $320 million deal. Additionally, Dish has spent about $3 billion on acquiring more broadband spectrum.
Why?
Because it wants to be more like Netflix (Nasdaq: NFLX). Nay, it wants to be better than Netflix. And Verizon (NYSE: VZ), Sprint (NYSE: S), and Clearwire (Nasdaq: CLWR).
CEO Joe Clayton doesn't see a problem with that. In a recent LA Times report, Clayton stated, "We are putting together the building blocks to be able to provide a whole suite of services to the customer...wireless voice, broadband, video, mobile...we're going to have the capability to do all of the above."
Clayton, formerly with Sirius (Nasdaq: SIRI) and DirecTV (NYSE: DTV), wants to transform Blockbuster into a streaming service to compete more wholly with Netflix. Clayton says Dish already has access to the studios and libraries to make it happen. The exec also thinks Hollywood would welcome more competition.
Clayton may be aiming for Best Buy (NYSE: BBY), hhgregg (NYSE: HGG), RadioShack (NYSE: RSH), and Wal-Mart (NYSE: WMT) as well. For the 1,500 to 1,700 Blockbusters expected to stay open, Clayton says they will be used for DVD rental and sales outlets, as well as a promotional tool for Dish Network offerings, and potentially sales of other consumer electronics.
With Dish's broadband ambitions, some believe it's unlikely to go too far, and most of it may end up being sold to the government.
Dish is 2.5 percent lower on the session. Shares are up about 22 percent since closing on the Blockbuster acquisition.
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