Murdoch Melds Latin TV Interests

14 October 2004

Media mogul Rupert Murdoch is putting all his Latin American broadcasting eggs in one basket.

The move, which combines his DirecTV Group with Sky units in Mexico, Brazil, Columbia and Chile, is costing $579m (€454m, £311m) and is geared to increasing profit in the long-term.

It still has to be ratified by regulators but, if given the green light, DirecTV will have access to 3.4 million subscribers with the potential of growing that figure to five million by 2008, according to ceo Chase Carey.

However, analyst Rich Greenfield of US-based Fulcrum Global Partners, says: "We believe it will take years for this opportunity to bear fruit," and warns the geopolitical and economic situation in that neck of the woods might hamper Murdoch's plans.

Data sourced from Sydney Morning Herald; additional content by WARC staff