Will DirecTV and Dish Merge? DOJ Says No

DirecTV and Dish will not be merging any time soon, a new report shows.

In August, we reported that AT&T was once again looking at options for selling DirecTV in an effort to offload debt. This week, The New York Post shared an update on the potential sale, noting that AT&T stands to lose billions in a deal to move on from its satellite TV service.

Along with news on the offers being made for DirecTV, The Post surprised some by sharing that Dish was not involved in negotiations. Dish Network chairman Charlie Ergen has repeatedly said that a merger between Dish and DirecTV is “inevitable,” but The Post seemed to be firm in saying that Dish was not participating in the auction alongside private equity firms.

Another report from The Post this week explains that the reason behind Dish’s absence is that a merger has been shot down by the Department of Justice.

“Regulators with the DOJ’s antitrust division recently informed executives of AT&T that a marriage between DirecTV and Dish would likely have to wait until faster 5G wireless service is more widely available in rural markets,” The Post learned from its sources.

The same concerns were brought up two years ago when the two companies were in early talks about coming together. AT&T is now moving forward with an auction for DirecTV without any involvement from Dish, according to the sources, rather than waiting for DOJ approval.

It’s unclear how far along AT&T’s auction of DirecTV has gotten and how long it might be before any type of deal is made.