EchoStar's US Satellite Pay-TV Provider Dish DBS Files for Bankruptcy

EchoStar's satellite pay-TV unit Dish DBS has filed for Chapter 11 bankruptcy protection, reports Reuters. The move also applies to its wireless subsidiaries, according to the article, and "facilitates the wind-down of Dish Wireless's 5G network operations following an unexpected delay in a spectrum license sale to AT&T... under which EchoStar agreed to sell about 50 megahertz of its nationwide spectrum for $23 billion."

Some context from Deadline.com: Charlie Ergen, who co-founded EchoStar and Dish, recently returned as chairman and CEO to steer the company through its recent challenges... Even prior to the merger, Ergen had been working to pivot from the pay-TV business, where Dish now has just 5 million subscribers and streaming sibling Sling TV has another 2 million, toward wireless telecom. With wireless spectrum hitting the market due to the Sprint-T-Mobile merger and then Elon Musk's Starlink looking to ramp up in the sector, it seemed more attractive than the cord-cutting-ravaged pay-TV business. But it is still entails plenty of risk, especially given how tightly regulated the spectrum is due to security concerns.
Thanks to long-time Slashdot reader schwit1 for sharing the news.

Re:

[PPH]

StarLink may eventually wipe it out. Until then, it's the only way some people have to watch TV. I'm not familiar with Starlink data caps and fees, if any. It could be that Satellite TV will always be a lower price point for this application.

Re:

[ArmoredDragon]

At some point, the only people who subscribe to cable (or satellite) will only be those who flat out aren't interested in having an internet connection along with it. Either way, cable is for old people.

Re:

[PPH]

You do know that cable (where available) is how some people get an internet connection. TV might be of secondary importance, but plan pricing is such that you may as well get it bundled.

Re:

[anoncoward69]

Starlink is very capable of providing enough bandwidth for streaming TV and there are unlimited data plans. The only way these Sat TV operators survive over the long term is to probably transition to IP based streaming platforms. I believe DirectTV already runs a streaming platform in parallel with it's DBS sat service. It's how they were able to do on-demand services a decade+ ago. The linear TV channels came over the dish and the on-demand streaming IP streaming over your existing home internet connection

Re:

[CommunityMember]

I'm surprised people still use this.

There are still locations where it is the cheapest most reliable option for the content some wish to consume (and sports bars were still using satellites in some cases so they could have all the games on all the screens (this, too, is changing)). However, the individual satellite subscriber numbers continue to shrink.

Re:

[karmawarrior]

We cancelled ours 5-10 years ago, by which time it had been supplanted by our Roku for 2-3 years completely.

I had a long discussion with my spouse on cancelling it because, in theory, it was the only reliable way to get local channels (I need to get on the roof and install an antenna as indoor isn't cutting it), and we live in Florida where hurricanes are regular events.

I think people don't generally *plan* to cancel something like this, after using it for decades, they instead realize they're paying for so

Re:

[Jumperalex]

I resemble this remark.

The thing that finally sealed the deal of dropping DishNetwork in 2020 was a home renovation that meant the dish had to come down. Rather than relocate it to a sub-optimal location (permanently or temporarily) I decided to wait until the renovation was done so I could put it back to the best location; but also as a test to see how bad we missed it. It took us 1 week to realize, "yeah we really don't need this anymore".

For us the biggest concern was the loss of DVR functions because I

Please don't kill Sling!

[Frogking]

I really hope they don't kill Sling TV. In my area, it's the only provider that doesn't charge a monthly $35 "local channels rebroadcast fee" for simple TV service. I have an HDHomeRun and don't want to or need to pay extra for local channels! Sling Blue costs me just a little more than $35/month and gets me all the "cable" channels I really want with no crazy extra fees.

Re:

[DewDude]

So...in the land of normal cable television; you can't do this. Cable providers are legally required to offer local channels; and you're legally required to pay the rebroadcast fee.

Streaming providers....last I knew....were supposed to adhere to this too; broadcasters threw a fit at the possibility of people buying packages without locals and cutting them off of all that money.

At the very least...the reorganization might close whatever loophole they're using and you'll have to start paying for locals. This

Re:

[CommunityMember]

I really hope they don't kill Sling TV.

Not in the (current) plan. This is a prepackaged bankruptcy that was due to bank notes coming due July 1st, and the FCC not yet issuing of a final order (there is conditional approval) for the spectrum sales, such that Echostar could not yet get its money and pay their bills on time, so, bankruptcy filing.

Re:

[luther349]

yea used to be relly good then lost a chunk of there channels and still got more expensive.

Re:

[karmawarrior]

I suspect it won't matter for much longer as the individual cable channels either sell directly via a streaming package that specializes in these things (see frndly for an example) or just turn into individual ad-supported streaming channels, or else disappear completely.

The format has become massively unpopular, and so likely the TV channels that depend upon it will become obsolete unless they repackage themselves for the streaming era.

Re:

[anoncoward69]

I don't get why cable and sat operators charge this local rebroadcast fee. This should be a mutually free beneficial agreement between both the TV operators and Sat/Cable operators. Customers want the local channels on their service lineup, and the TV broadcasters want eyeballs on their programming for ratings and especially the ads for $$$. This should be a win win for everything involved without any money changing hands.

Re:

[anoncoward69]

If anything it should be the TV broadcasters paying the Sat/Cable operators to get more eye balls on their programming and ads.

Dish: the AT&T reseller

[Mirnotoriety]

The irony of Dish's Open RAN dreams ending with them becoming a heavy AT&T reseller is delicious. This is the classic "monetize it or lose it" telecom shuffle. Dish spent years (and billions) trying to become the fourth full MNO with its own Open RAN 5G network and Boost Mobile, only to hit the wall on scale, debt, and FCC buildout pressure.

Dropped DishTV over 25 years ago.....

[bsdetector101]

Cord cutter since then and been streaming ever since !