DIRECTV Final Conference Call

posted in: Notes | 0

I fully expect this deal to close

“let me just start by reiterating that I fully expect this will probably be our last earnings call as a separate public company.”

I’d like to thank you, our investors

“et me just take this opportunity to briefly thank all of you, our investors, for your support over the past five and a half years. Since I became CEO, our number-one focus has been driving shareholder value and serving our customers. And if I take a look at our stock price, I’d like to think we’ve made some good progress on the shareholder value creation front.”

The most valuable thing that AT&T is buying is our people

“I think it’s important to point out that the reason for our success, though, really goes back to our DIRECTV people. So let me just thank all of our DIRECTV employees for all their hard work, dedication, their creativity and imagination to make our business what it is today over the past five and a half years and even beyond that. Those are the folks who have truly made this a great company as well as, I think, a great place to work. And at the end of the day, I certainly believe that – and I think Randall does as well – that the most valuable assets AT&T is buying is truly our people.”

Most industry contracts have a lot of restrictions on them but we’ll see how Verizon works out

“Most industry contracts typically have a fair number of restrictions in them in terms of what you can do. Now, we’ll see with Verizon’s approach. I’m certainly happy to see someone drawing attention to the issue of giving consumers greater flexibility, but we’ll have to see how that works out.’

Reality is starting to set in for programmers re: a la carte

“”I think the programmers have become a little more flexible. I think reality may be settling in. And I think in the end, it’s awfully hard in today’s world to not provide consumers what they want with some flexibility. I’m not a believer that we ought to go all the way to a la carte, but I do think the system has kind of gone too far the other way at this point.

Sports still great. Over a million buys of the fight

“if you look at any of the highest rated programs, most of them are NFL games. I mean, there’s no doubt that sports, particularly live sports, continues to draw massive audience. I mean, we were thrilled with the results of the fight, pay per view; we had over a million buys at DIRECTV.’

The Dodgers was a reckless deal at many multiples of what was being paid before

“Look, I think in the case of the Dodgers, frankly at this stage it’s probably for AT&T to make a decision, but it was a reckless deal at many multiples of what was being paid before, well above what anybody else would have bid, and then they tried to force customers to pay for it.”

AT&T is going to try to take this product mobile

“I think certainly as a company that has a world-class mobile business, you can fully expect they’re going to mobilize everything. I think you can certainly expect that we are going to try and take TV Everywhere, all the way to the promise land, to deliver on the promise that we made several years ago that has been difficult for the industry, I think. I can see a future not too far out there where you’re going to see a lot more exciting stuff of – your ability to watch stuff on any device you want”

I’m not sure over the top is attractive if you’re not selling broadband

I think in the industry you’re seeing a lot of experiments of different ideas and everyone is well aware that consumers would like skinnier bundles. It’s not at all clear to me that it’s just an over-the-top product is going to be all that attractive financially a proposition if you’re not selling broadband, but who knows?”