Telecompetitor Arches

Triple Play Scared Murdoch Off

The current assessment is right – DirecTV is indeed holding its own against the triple play competitive threat. They have executed a well defined strategy of focusing on content and feature enhancements, including HD, sports, and interactive apps, that position DirecTV as a premium video offering. Premium enough for millions of subscribers to forgo the perceived value of triple play bundles, and make DirecTV their video option of choice. It’s a great lesson in focusing on your core strength and leveraging it to your advantage. As Murdoch suggests, there is no guarantee this current success will translate into long term prosperity for DirecTV. There is no shortage of challenges for them to sustain this success. Beyond the triple play challenge, forthcoming convergence applications provided by IPTV, , and wireless integration will be tough for DirecTV to compete with.

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