AT&T could close a deal to buy DirecTV for roughly $50 billion in as little as two weeks, The Wall Street Journal reported Monday.
The purchase would allow AT&T to expand its television footprint in the US, an attractive move for the telecommunications company. Like its competitors, AT&T continues to compete with cable companies for customers who want bundled services for TV, broadband, wireless, and home phone. DirecTV is the No. 2 satellite TV provider, with 20 million subscribers. AT&T U-Verse TV, the company's digital TV service, has 5.7 million customers.
Both AT&T and DirecTV declined to comment.
The agreement would involve AT&T paying for DirecTV with both cash and stock, valuing the deal around $50 billion, unnamed sources told the Journal, which first reported rumors of a possible acquisition late last month.
AT&T reportedly approached DirecTV after Comcast announced its deal with Time Warner Cable in February. That merger, if approved, would result in a combined base of 30 million subscribers.