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Technology Stocks : SBC Communications
SBC 4.030-3.8%2:10 PM EST

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To: Rohit Sood who started this subject2/10/2003 6:47:18 PM
From: scott_jiminez   of 216
 
Here's the most rational take on today's rumor...

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Feb 10, 2003 (Satellite Today/PBI Media via COMTEX) --

Despite reports that Bell giant SBC [NYSE: SBC] is in discussions to buy satellite TV operator DirecTV Inc., Lehman Brothers analysts think a deal is unlikely.

Blake Bath, a Lehman Brothers telecommunications analyst, believes "strongly" that a merger will not take place. Bath said that SBC has far more important strategic priorities than launching a national satellite TV service. The priorities include bolstering its wireless communications position and competing with the cable TV industry on high-speed Internet access. Fellow analyst William Kidd added that a partnership between News Corp. [NYSE: NWS] and Liberty Media [NYSE: L] remains the frontrunner to acquire DirecTV.

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The more important news vis SBC is the upcoming FCC meeting regarding line leasing...and there appears to be a good likelihood the ruling will alter the 1996 Telecom Act in favor of SBC and the other tcoms.
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