GM, News Corp. Closing in on Deal for Hughes10 Jul, 2001 By: Hive News
General Motors Corp. and News Corp. are close to a deal for Hughes Electronics, the GMsubsidiary that operates DirecTV, the Associated Press quoted a GM spokesperson.
Talks are "rounding the corner," the spokeswoman said. "They're just defining the agreement."
An agreement would give News Corp. control of Hughes' DirecTV company, the leading home satellite television provider in the U.S. with 9.5 million subscribers.
GM has said it would like to sell Hughes in order to focus on its automotive business.
Colorado-based satellite competitor EchoStar Communications Corp., which operates the smaller Dish Network, had hoped to land DirecTV, but hasn't been strong enough to break into GM's 18-month-long talkathon with GM.