DISH Network Corp.
) Puerto Rican subsidiary and
America Movil S.A.B. de C.V.
)-owned Claro Puerto Rico have joined forces to offer bundled
services in Puerto Rico. The two subsidiaries aim to offer
bundled pay-TV, Internet, wireless and fixed line services at an
Notably, DISH and Claro are the largest pay-TV and telecom
operators in the island country. The service will be
available at select DISH and Claro retail locations from mid Aug
2013. Customers will receive a single bill for the bundled
DISH is the only pay-TV operator in Puerto Rico which offers
more than 100 HD channels and an innovative HD whole-home DVR
called "Hopper". Hooper enables users to watch TV shows and
movies in 4 different rooms at the same time and record 6 HD
shows simultaneously. Additionally, Hooper also includes AUTO HOP
features, which enable DISH's Puerto Rican customers to record up
to 500 hours of HD programming. On the other hand, Claro Puerto
Rico offers voice data and cable TV services. America Movil
acquired Claro Puerto Rico from
Verizon Communications Inc.
) in 2007.
Telecom operators are quickly gaining market share from
satellite TV providers by offering fiber-based TV service.
Moreover, online video streaming service providers, such as
), Hulu.com and YouTube threaten pay-TV operators with their
cheaper source of programming.
In order to reduce the competitive pressure in the domestic
market, the satellite TV operators are expanding their operations
in Latin American countries, where pay-TV penetration is still
The DISH-Claro tie-up will offer the combined benefits of
high-speed Internet and HD channels to the customers. The
partnership will put DISH in an advantageous position over its
arch rival, DIRECTV, which also has a presence in Puerto
DISH currently carries a Zacks Rank #3 (Hold).
AMER MOVIL-ADR (AMX): Free Stock Analysis
DISH NETWORK CP (DISH): Free Stock Analysis
NETFLIX INC (NFLX): Free Stock Analysis
VERIZON COMM (VZ): Free Stock Analysis Report
To read this article on Zacks.com click here.