AT&T to Buy DirecTV for $48B

    In this Wednesday, Oct. 17, 2012, photo, an AT&T logo is displayed on an AT&T Wireless retail store front, in Philadelphia. The flow of customers into AT&T's wireless stores slowed further in the latest quarter, putting the company far behind rival Verizon Wireless. AT&T Inc. on Wednesday, Oct. 24, 2012, said it added a net 151,000 new customers on contract-based plans from July through September, the lowest number for that period since at least 2003.  (AP Photo/Matt Rourke)

    Matt Rourke/AP

    Watch out, Comcast. After weeks of rumors, AT&T announced it plans to acquire DirecTV for $48 billion, about the amount that analysts had estimated the deal would be worth. The merger will secure a sizable chunk of the pay-TV customer base for AT&T, as DirecTV has about 20 million subscribers, and raise new concerns about competition and consumer choice. The new company is expected to be a formidable rival to the Comcast-Time Warner Cable merger, and gives AT&T access to DirecTV’s $2.6 billion in free cash flow. 

    Read it at The Washington Post