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SkyREPORT.COM News Headlines
News Update For 2/15/00

News Corp Spinning Off Satellites?

News Corp. said early speculation that it will consolidate its global satellite operations and investments into a single public company are "premature." On Monday, The Wall Street Journal said News Corp. Chairman Rupert Murdoch was close to executing such a move, which would include DTH platforms in Europe and Latin America as well as the company's Star TV endeavor in Asia. The aim, according to the financial publication, is to take hold of a growing broadband pipeline into the home. Some consider satellites the best platform outside of the cable-dependent United States. News Corp. didn't dismiss the possibility of grouping its satellite interests into a new entity. "We have under serious consideration plans to consolidate our worldwide satellite platforms and certain related assets under one umbrella entity," the company said in a statement. However, "It is premature to speculate on the final format of this umbrella entity, the makeup of its assets, the identity of its investors or whether the entity will be a public company," News Corp. added. News Corp.'s satellite businesses include its 40-percent ownership in British Sky Broadcasting, its majority interest in Sky Latin America and stakes in a DTH platform in Japan. There's also the satellite-dependent Star TV broadcast operation in Asia. News of a possible spin-off pushed up American Depositary Receipts for BSkyB. The very hot BSY ADRs rose $8 to $181 during trading on the New York Stock Exchange Monday.


DISH-Comedy Resolve Program Dispute

The Cable Services Bureau at the Federal Communications Commission dismissed a program access complaint EchoStar filed against Comedy Partners, which delivers the popular basic network Comedy Central. According to the FCC, EchoStar said it has entered into a settlement with Comedy Partners that resolves the program access dispute. EchoStar asked the FCC to dismiss its complaint earlier in the month, a move that is part of the company's agreement with Comedy Partners. EchoStar filed the initial complaint in December. Even with the filing, EchoStar's DISH Network has continued carrying Comedy Central as part of its America's Top 100 CD and America's Top 40 packages.


OpenTV Reaches 6 Million Boxes

OpenTV, a provider of interactive television features, said its software is now in more than 6.1 million digital set-top boxes worldwide. OpenTV's wares were shipped in more than 1.6 million digital set-top boxes during the fourth quarter. The record shipments, which were attributed to strong Christmas sales, represent a 62 percent increase from the prior quarter and a 177 percent increase from fourth quarter 1998. To date, 20 digital television network operators have deployed OpenTV systems. They include six cable operators, 12 satellite companies, one terrestrial platform and one MMDS operator. In the United States, OpenTV is available on EchoStar's DISH Network.


Globalstar Inks Deal In Mexico

Nuevo Grupo Iusacell, Mexico's second-largest telephone operator, and the Mexican unit of Globalstar Telecommunications announced Monday they will form a joint venture to provide nationwide telephone coverage. Globalstar's deal with Iusacell, controlled by Bell Atlantic, will allow the phone operator to expand its coverage to all corners of Mexico. Presently, the company covers four regions and 69 percent of Mexico's population. The Globalstar-Iusacell venture "reaffirms the goal of satellite telephone services to complement existing communications systems," said Lauro Gonzalez, executive president of Globalstar's Mexican unit.


TECHNOLOGY: KVH Sues Datron

  • KVH Sues Datron - KVH Industries said it has filed suit in U.S. District Court in Rhode Island against in-motion satellite antenna competitor Datron/Transco for infringing on a patent. KVH is seeking a court order that would prevent Datron from making or selling products that KVH said infringe its patent. KVH said it's also seeking unspecified compensatory damages in the suit, which it wants tripled because of what it considers to be Datron's "willful violation."
  • ACeS Launches Satellite - During the weekend, Pasifik Satelit Nusantara and its subsidiary ACeS launched the satellite Garuda-1. The bird traveled aboard a Proton rocket from the Baikonur Cosmodrome in Kazakhstan. With the satellite, ACeS will provide mobile voice and data services to subscribers in the Asia-Pacific region. In addition to Pasifik Satelit, Lockheed Martin is a partner in ACeS.
  • Wegener Gets ESPN Deal - Wegener Corporation received an order from ESPN for digital video satellite transmission equipment. ENVOY, Wegener's digital video courier, and UNITY4422 IRD's are included in the order. ESPN will use ENVOY to transmit feeds from remote live game locations to its main uplink facility in Bristol, Conn. Wegener's UNITY4422 receivers will be used at ESPN to receive and decode the feeds.

 

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Last Updated: February 15, 2000