will market and distribute the DirecTV
direct broadcast satellite service under an agreement announced Monday. AT&T plans to begin offering the service and equipment to its 90 million customers by mid-summer. AT&T also is acquiring 2.5% of DirecTV, owned by Hughes Electronics, for $137.5 million.
AT&T has options to increase its investment to up to 30% over five years, depending primarily on the number of new DirecTV subscribers AT&T enrolls over specific time periods. AT&T and DirecTV also plan to jointly develop new multimedia services for DirecTV as part of the agreement.