DirecTV To Focus On Internet Access Under Malone

We live in the age of fast broadband access and cheap bundles of services. People have come to expect bundled services of internet access, TV, and phone calling. This has been a particular problem for DirecTV as their internet access offerings have traditionally been poorly received. John Malone realizes that offering these bundles is imperative for continued growth.

"The consumer wants to buy these services as a bundle," said Todd Mitchell, an analyst at Kaufman Bros. "Malone is much more likely to do partnerships and to focus in on his part of the bundle," he said.

The first hurdle for Malone to figure out is which one of several competing technologies the company should use to offer broadband access to its' satellite TV customers. His options are to develop the technology inhouse or partner with one of the companies who are already offering the service. Time will tell what happens, because as things stand, Verizon Wireless' FiOS package is much more competitive than any thing offered by DirecTV.