SkyREPORT.COM News Headlines
News Update For 1/27/00
Tight Supplies For DISH Systems
EchoStar's DISH Network, the rapidly-expanding DBS service that added 1.47 million net new customers last year, said supplies of new systems are "tight" due to that record growth. Company executives said in a satellite uplink with retailers last week that equipment is still available, but that receivers are being shipped as fast as they can be sold. A spokesperson confirmed the news, adding that high sales volume over Christmas and a new nationwide cable bounty promotion are creating the tight inventories. The supply issue is impacting mid-level models. There are no shortages for higher-end systems or EchoStar's DISH/Web TV combination box. DISH Network's net additions for 1999 represent a increase of 63 percent over 1998's numbers. The company serves approximately 3.41 million customers.
Sirius-XM Conduct Business
The nation's two developing DARS (digital audio radio service) companies made moves on Wall Street this week. XM Satellite Radio priced concurrent offerings for 4 million shares of class A common stock and 2 million shares of 8.25% convertible redeemable preferred stock. Proceeds will be used for the continued development of the satellite-based XM Radio system. The price for the common stock was set at $32 a share. The 8.25% series B stock will be convertible into class A common stock at a price of $40 per share. The XM moves compelled Armand Musey at Banc of America Securities to reiterate a "buy" rating on the stock. Meanwhile, XM's competitor in the DARS business, Sirius Satellite Radio, won some more favor from Wall Street. Analysts at Friedman, Billings, Ramsey & Co. reiterated their "buy" rating for the company. The price target was raised to $60 from $48 per share.
OpenTV Loss Widens
OpenTV, a developer of interactive television software, said its fourth-quarter loss widened due to increased spending on product development and marketing. The loss excluding one-time items was $4 million, compared to $3.7 million reported for the same period a year earlier. Fourth-quarter sales rose 150 percent to $8.4 million. OpenTV's software is on 4.5 million digital set-top boxes worldwide. In the United States, OpenTV has EchoStar as a partner.
Satellite Delivers Super Bowl Events
Even though the big game is on big-time TV (6 p.m. Eastern Time on ABC), some of satellite's top networks will present their own Super Bowl specials this weekend. The pick of the SkyREPORT.COM editorial staff is Cartoon Network's airing of "Road Runner Vs. Coyote: Big Game XXVII" on Saturday at 6 p.m. Eastern Time. The event involving the two cartoon characters includes a "pre-game show" hosted by football commentators John Madden and Pat Summerall. On MTV, "Total Request Live" will deliver a one-hour special, "TRL Super Bowl 2000," from the NFL's interactive theme park in Atlanta. "Deathbowl 2000," from the creators of MTV favorite "Celebrity Deathmatch," features a claymation fight between Joe Namath and O.J. Simpson. Also look for post-game coverage from ABC as well as ESPN and sports news channel CNNSi. Sunday's game in Atlanta marks the fifth time that ABC Sports has presented the Super Bowl.
INTL: Greek Channels Join DISH Lineup
- Greek Channels Join DISH Lineup - EchoStar's DISH Network is adding two new Greek-language channels, MEGAcosmos and Ellinki Radiophonia Tileorassi (ERT Sat). The Greek programming will be offered from the 61.5-degree location. MEGAcosmos delivers entertainment, news, sports, serial dramas, game shows and more, and sells for $14.99 a month. ERT Sat is a government-owned network that offers local news, documentaries, and educational and children's programming for $12.99 per month. DISH Network customers can purchase both channels for $26.99 a month.
- EUTELSAT Orders New Bird - EUTELSAT, a European satellite operator, ordered a new satellite in an effort to meet back-up needs and to enable expansion of digital services throughout the continent. The satellite will be equipped with 26 Ku-Band transponders that are switchable into three coverages - a widebeam over Europe, a beam that reaches North and South America and a steerable beam. The bird should be delivered to EUTELSAT by Alcatel Space in 16 months, and will become available in orbit by mid 2001.
- COMSAT Targets South America - COMSAT said it plans to invest $230 million in six Latin American countries during the next three years in an effort to expand into the region's corporate communications market. The plan calls for a new satellite infrastructure serving Argentina, Brazil, Colombia, Mexico, Peru and Venezuela.