News Summary: AT&T offers $48.5B for DirecTV
BIG MERGER: AT&T is seeking to acquire DirecTV for $48.5 billion, of $95 per share, in a deal to help it better compete with rivals.
WHY IT'S HAPPENING: The deal would give telecommunications giant AT&T a larger base of video subscribers. The combined company would serve 26 million TV customers. AT&T could also improve its Internet service by pushing its current U-verse subscribers onto DirecTV's satellite-based service, freeing up bandwidth in its network.
WHAT'S NEXT: The deal could face scrutiny from the Federal Communications Commission and the Justice Department. The companies expect it to close within 12 months.