DIRECTV 2010 Annual Report Download - page 30

DIRECTV
Verizon had approximately 3.5 million video subscribers and AT&T had their cell phones. Verizon Wireless offers V Cast娃 which allows subscribers
approximately 3 million video subscribers. Similar to the cable companies, to watch many of the top TV shows including college football and
the telcos expect to offer their customers multiple services at a discount on basketball on their mobile phone for a modest fee. In addition, other
one bill. mobile applications and services are becoming available. Other cable and
satellite distributors are also focused on distributing their content to their
•Other Direct Broadcast Satellite and Direct-To-Home Satellite System Operators. customers mobile devices.
We also compete with DISH Network Corporation, or DISH Network,
which had over 14 million subscribers at the end of 2010, representing • Small and Rural Telephone Companies. Other telephone companies are also
approximately 14% of MVPD subscribers. Other domestic and foreign finding ways to deliver video programming services over their wireline
satellite operators also have proposed to offer DTH satellite service to U.S. facilities or in a bundle with other MVPD providers. For example, DISH
customers using U.S.-licensed satellite frequencies or foreign-licensed Network has agreements with Embarq, Windstream, TDS, and Frontier to
frequencies that have the ability of covering the United States. bundle their individual DSL and telephony services with DISH Network’s
video service.
•Video via the Internet. With the large increase in the number of consumers
with broadband service, a significant amount of video content has become • Local Broadcasters. Most areas of the United States can receive traditional
available on the Internet for users to download and view on their personal digital television broadcasts of between three and ten channels. These
computers, televisions and other devices. For example, Apple TV威 offers broadcasters are often low to medium power operators with a limited
hundreds of television shows and movies for rental, some in high-definition, coverage area and provide local, network and syndicated programming
on the online iTunes威 Store. In addition, Hulu娃 is an OVD which typically free of charge. There are over 2,000 TV broadcast stations in the
provides free movies and TV shows from over 225 content providers U.S. split among 210 TV markets.
including FOX, NBC Universal, ABC, Lionsgate, MGM, National
Geographic, Paramount, A&E Television Networks, PBS, and Warner Bros. DIRECTV LATIN AMERICA
This content can be accessed on demand through its website and those of Through DTVLA, we provide DTH digital television services in Latin
its partners—AOL, IMDb, MSN, MySpace, and Yahoo!. In addition, several America and the Caribbean, which includes Puerto Rico. Under the DIRECTV and
companies, such as Netflix, Blockbuster and Amazon.com, sell and rent SKY brands, we provide a wide selection of digital-quality local and international
movies or other shows via Internet download or streaming media. For programming to approximately 3.3 million subscribers in PanAmericana and
example, Netflix has a library of thousands of movies and TV shows approximately 2.5 million subscribers in Brazil. Our 41% owned affiliate, Sky
available for download to its over 20 million subscribers in the U.S. and Mexico, has more than 3.0 million subscribers in Mexico and certain countries in
Canada. There are also several similar initiatives by companies such as Intel, Central America. Including Sky Mexico, DIRECTV and Sky provide service to
Microsoft and Sony to make it easier to view Internet- based video on 8.9 million subscribers throughout the region.
television and personal computer screens. Many television models, Blu-Ray
Disc威 players and gaming consoles like Nintendo’s Wii威, Sony’s PS3威 and We own 100% of PanAmericana (which operates principally in South America
the Xbox威 can be directly connected to the Internet and have the capacity and the Caribbean, including Puerto Rico), 93% of Sky Brazil (which operates in
to stream video to the television. Brazil), and 41% of Sky Mexico (which operates in Mexico, Central America and
the Dominican Republic). Globo Comunica¸c˜ oes e Participa¸c˜ oes S.A., or Globo,
•Mobile Video. Many companies are beginning to offer mobile applications owns the other 7% of Sky Brazil and Grupo Televisa, S.A., or Televisa, owns the
for video allowing consumers to watch video on the go. For example, other 59% of Sky Mexico. The results of PanAmericana and Sky Brazil are
AT&T offers AT&T mobile TV娃 which provides users the ability to watch consolidated in our results. We account for our 41% interest in Sky Mexico under
full length TV shows from ABC, CBS, ESPN and other programmers on the equity method of accounting.
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