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s : skyreport@mediabizcorp.com 29 November 2010 • 4:01PM -0500

Another DISH Shutdown
by SkyREPORT

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<tr><td colspan="2" class="article_heading" >Headlines for Monday, November 29, 2010:</td></tr>









<tr><td width="10" class="article_nav" > </td><td class="article_nav" ><a href="#article4" class="article_nav" >SkyBOX:  Another DISH Shutdown</a></td></tr>



<tr><td width="10" class="article_nav" > </td><td class="article_nav" ><a href="#article5" class="article_nav" >SkyLog:  Blistering Echostar; More Low Price Packages; Black Friday News</a></td></tr>



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<td class="article_title" >SkyBOX:  Another DISH Shutdown</td>
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<tr><td class="article" >by Evie Haskell <a href="mailto:evie@medi..." class="article_nav" >evie@medi...</a></td></tr>
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<div class="article" ><br>Once upon a time (actually several times), I heard <span style="font-weight: bold;">DISH</span> founder <span style="font-style: italic;">Charlie Ergen</span>   refer to his legal department as "a profit center."  That was clearly a   point of pride.  But pride, the old adage tells us,
comes before a fall   and, once again, DISH is treading in murky legal waters.<br><br>The occasion this time is an <span style="font-weight: bold;">FCC</span> decision on an arbitration issue initiated by DISH concerning its negotiations for <span style="font-weight: bold;">Comcast</span>'s  <span
style="font-style: italic;"> SportsNet California</span>.  Last week, the FCC ruled against DISH, saying   that terms offered by the SportsNet reflect fair market value.    Understandably, DISH disagrees with that.  Less understandably, DISH   responded by shutting down the California
sports net, telling viewers   that "DISH Network has been unable to reach a fair agreement ...."<br><br>Comcast   promptly asked the FCC to suspend arbitration hearings involving DISH   and three other of its RSNs, under the theory that, if DISH doesn't like   the decisions in those cases, it might
shut down those networks as   well.<br><br>In a message to its California subscribers, Comcast says, "DISH Network has taken away <span style="font-style: italic;">Sharks</span> and <span style="font-style: italic;">Kings</span>   coverage from local fans by dropping Comcast SportsNet. Why did they
do   this?  We don’t know. DISH says they are negotiating with us, but the   fact is that we have a binding agreement with DISH Network and DISH   Network has decided they can ignore it."<br><br>Comcast wants to meet   "at your earliest possible convenience" with the FCC.  I bet the FCC
wants to hold some meetings of its own.<br><br>In short, that whirring   you hear is the sound of legal knives being sharpened.  It's not the   first time ... or the only time ... or, I'm quite sure, the last time.    Thus far DISH has been very clever – and yes, often profitable – in its
legal maneuverings.  Thus far.• <P>
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<div class="article_title" >SkyLog:  Blistering Echostar; More Low Price Packages; Black Friday News</div>


<div class="article" ><span style="font-weight: bold; text-decoration: underline;"><br>In the Courts</span>:  <span style="font-style: italic;">Bloomberg News</span> picked up Judge <span style="font-style: italic;">Richard Lowe</span>’s blistering remarks about <span style="font-weight: bold;">Echostar</span>’s
behavior in the <span style="font-weight: bold;">Voom HD Holdings</span>   case for 11/09: “EchoStar has systematically destroyed evidence in   direct violation of the law and in the face of a ruling by a Federal   court that criticized EchoStar for the same bad faith conduct.” ---   Attempts at
mediation between <span style="font-weight: bold;">Comcast</span> and the <span style="font-weight: bold;">Tennis Channel</span> are kaput; the fight now goes to a <span style="font-weight: bold;">FCC</span> administrative law judge.<br><br><span style="font-weight: bold; text-decoration:
underline;">Strategies</span>:  Add <span style="font-weight: bold;">Charter</span> to the list of MPVDs looking at lower-cost packages.  Said CEO <span style="font-style: italic;">Michael Lovett</span>,   the package will be designed for "Those households that are   experiencing
challenging times in this economy."  Details have yet to be   worked out with programmers. ---  <span style="font-weight: bold;">Fox</span> says that make-good ads, which kick in when broadcast ratings fall below guaranteed levels, will appear on <span style="font-weight:
bold;">Hulu</span>.<br><br><span style="font-weight: bold; text-decoration: underline;">OTT</span>:  <span style="font-weight: bold;">Morgan Stanley</span> analyst <span style="font-style: italic;">Mary Meeker</span>   made news last week by noting that, during "peak traffic" hours on the   web
(which just happen to coincide with peak hours for traditional TV)   37% of all internet traffic is due to streaming video.  The traffic   winner is <span style="font-weight: bold;">Netflix</span> with 21% followed by <span style="font-weight: bold;">YouTube</span> at 10%.<br><br><span
style="font-weight: bold; text-decoration: underline;">At Retail:</span>  <span style="font-weight: bold;">QVC</span> reported its biggest Black Friday ever, pulling in more than $42M in sales. --- <span style="font-weight: bold;">Google TV</span> and <span style="font-weight:
bold;">Sony</span>   looked to cash in on the big buying holiday by offering $200 off Sony   internet TVs and Blu-ray players from Nov. 25 to Nov. 29.  --- The <span style="font-style: italic;">Washington Post</span> predicts unusually sharp reductions on flat-panel TVs due to a supply glut.
<br><br><span style="font-weight: bold; text-decoration: underline;">Deals & Partnerships</span>: <span style="font-weight: bold;">Deluxe</span> will acquire <span style="font-weight: bold;">Ascent Media</span>’s Creative Services and Media Services businesses (Company 3, Beast, Method, Rushes,
Encore Hollywood & Level 3 Post). --- <span style="font-weight: bold;">News Corp</span>. will acquire <span style="font-weight: bold;">Wireless Generation</span>, a NY based tech company, for around $360 in cash, according to<span style="font-weight: bold;"> SNL Kagan</span>.  <br><br><span
style="font-weight: bold; text-decoration: underline;">Up in the Sky</span>:  <span style="font-weight: bold;">Arianespace</span> completed its fifth successful launch for 2010 boosting Intelsat 17 and Hylas 1 into orbit.  That makes 40 successful missions in a row for the French
company.  --- <span style="font-weight: bold;">Avanti Group</span> says Friday's launch of its Hylas 1 satellite will make   broadband available to "hundreds of thousands" of rural residents and   businesses across Europe.  --- <span style="font-weight: bold;">Intelsat</span> says its new
sat will offer C-   and Ku-band capacity across Europe, the Middle East, Africa, Russia and   Asia.  --- Talk show host <span style="font-style: italic;">Laura Schlessinger</span> has signed a multiyear deal with <span style="font-weight: bold;">Sirius XM</span>, set to start on Jan. 3. ---
<span style="font-weight: bold;">SES WorldSkie</span>s has a new capacity agreement with Amsterdam's <span style="font-weight: bold;">VimpelCom</span>, which will beam services into Russia's far east and Eastern Siberia.•<br> <P>
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