As I said during my Dish to purchase Sling Media post it is going to be difficult for Echostar to make advances in technology, which empower consumers, when the media companies that they purchase their programming from try to lock down their content.
Only a dozen hours after purchasing the privately held Sling Media, Inc., Echostar announced that they are preparing a registration statement for filing with the Securities and Exchange Commission in connection for a spin-off that represents their technology and investments - like Sling Media, their Archos personal video player investment, and MPEG-2 and MPEG-4 set top box and DVR manufacturing.
This could prove to be an important move as the content and consumer side of the house can be separated, albeit with a dotted line, to these important technology innovations. Charlie Ergen, Chairman and Chief Executive Officer of EchoStar comments "We believe separation of our consumer-based and wholesale businesses could unlock additional value. Each company would be able to separately pursue the strategies that best suit its respective long-term interests. The spin-off transaction would also allow employee incentives to be tied to their respective company's performance, and improve opportunities to effectively develop and finance expansion plans."
Keep pushing that envelope for the consumers Charlie! The days of popping a DVD in the home player, car player and a portable player need to be as old school as what MP3 has done for the music CD! Help us to "8-Track" that video format!
Echostar press release on their desire of spinning off their technology group.
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