• Denver Post, Friday, January 6, 2006 11:45 AM

EchoStar Communications Corp., the No. 2 satellite-TV provider in the U.S. behind DirecTV, may very well be in the crosshairs of AT&T Corp., according to widespread industry speculation. The rumors have resulted in a run-up of EchoStar stock. The newly invigorated AT&T--the name taken by SBC when it acquired the assets of the "old" AT&T several weeks ago--may need to acquire a satellite company if it wants to offer a comprehensive package of bundled services, as is the inexorable trend throughout the industry. Buying EchoStar, which sells its satellite service under the Dish Network brand, would instantly allow AT&T to provide entertainment to individual households, combining the service with its telephony and Internet services into a single monthly bill. Neither company is commenting on the rumors. But according to published reports, both AT&T and EchoStar, which have worked collaboratively in the past, see the virtue of an acquisition by AT&T.

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