Dish Network 2013 Annual Report Download - page 8

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x We operate in an extremely competitive environment and our success may depend in part on our timely
introduction and implementation of, and effective investment in, new competitive products and services,
the failure of which could negatively impact our business.
x Technology in our industry changes rapidly and our inability to offer new subscribers and upgrade existing
subscribers with more advanced equipment could cause our products and services to become obsolete.
x We rely on a single vendor or a limited number of vendors to provide certain key products or services to us
such as information technology support, billing systems, and security access devices, and the inability of
these key vendors to meet our needs could have a material adverse effect on our business.
x Our sole supplier of new set-top boxes, EchoStar, relies on a few suppliers and in some cases a single
supplier, for many components of our new set-top boxes, and any reduction or interruption in supplies or
significant increase in the price of supplies could have a negative impact on our business.
x Our programming signals are subject to theft, and we are vulnerable to other forms of fraud that could
require us to make significant expenditures to remedy.
x We depend on third parties to solicit orders for our services that represent a significant percentage of our
total gross new subscriber activations.
x We have limited satellite capacity and failures or reduced capacity could adversely affect our business.
x Our satellites are subject to construction, launch, operational and environmental risks that could limit our
ability to utilize these satellites.
x We generally do not carry commercial insurance for any of the in-orbit satellites that we use, other than
certain satellites leased from third parties, and could face significant impairment charges if one of our
satellites fails.
x We may have potential conflicts of interest with EchoStar due to our common ownership and management.
x We rely on key personnel and the loss of their services may negatively affect our businesses.
Acquisition and Capital Structure Risks Affecting our Business
x We made a substantial investment to acquire certain AWS-4 wireless spectrum licenses and other assets
from DBSD North America Inc. (“DBSD North America”) and TerreStar Networks, Inc. (“TerreStar”) and
to acquire certain 700 MHz wireless spectrum licenses. We will need to make significant additional
investments or partner with others to commercialize these licenses and assets.
x To the extent we commercialize our wireless spectrum licenses, we will face certain risks entering and
competing in the wireless services industry and operating a wireless services business.
x We may pursue acquisitions and other strategic transactions to complement or expand our businesses that
may not be successful and we may lose up to the entire value of our investment in these acquisitions and
transactions.
x We may need additional capital, which may not be available on acceptable terms or at all, to continue
investing in our businesses and to finance acquisitions and other strategic transactions.
x A portion of our investment portfolio is invested in securities that have experienced limited or no liquidity
and may not be immediately accessible to support our financing needs, including investments in public
companies that are highly speculative and have experienced and continue to experience volatility.
x We have substantial debt outstanding and may incur additional debt.
x It may be difficult for a third party to acquire us, even if doing so may be beneficial to our shareholders,
because of our ownership structure.
x We are controlled by one principal stockholder who is also our Chairman.