DirecTV Parent Acquires Broadband Provider
The company will acquire Telocity for $2.15 per share in cash, or a total purchase price of about $180 million.
Hughes Electronics plans to integrate the broadband capabilities of Telocity with the interactive television technology of DirecTV to create a system that can deliver digital video and high-speed data to DirecTV customers.
Hughes Electronics also this week launched a nationwide broadband service via satellite, which the company claims will complement the Telocity DSL service.
DirecTV serves more than 9 million customers nationwide. Telocity provides a broadband network that extends across 140 U.S. metropolitan areas.