Tuesday’s complex agreement with EchoStar [DISH] brings Gemstar-TV Guide [GMST] one-step closer to tidying up a litigious mess and some 9mln subs nearer to full distribution of TV Guide Channel. EchoStar will make a one-time $238mln cash payment ($190mln for licensing intellectual property and $48mln for Gemstar’s declining C-band Superstar/Netlink Group LLC (SNG), UVTV distribution, and SpaceCom businesses), launch the TV Guide channel on its "America’s Top 60" tier and extend the contract for TVG Network. Both sides agree to end litigation, which leaves Gemstar CEO Jeff Shell with Scientific-Atlanta [SFA] on his legal to-do list. The series of deals already concluded will put the TV Guide Channel in nearly 80mln HHs on long-term contracts; just one year ago, most of the channel’s distribution was short-term or un- contracted. Gemstar capped the day with a 4Q/’04 earnings report filled with progress. 4Q net loss was $491.4mln ($1.20/diluted share), compared to a net loss of $1.3bln ($3.19/diluted share) in the previous year’s 4Q. For the year ended Dec 31, Gemstar showed a net loss of $577.4mln ($1.41/diluted share), compared to $6.4bln ($15.64/diluted share) in ’02. "We’ve gotten our corporate house in order," Shell told analysts. Now the company will concentrate on growing businesses including "developing, deploying and monetizing the TV Guide on Demand business" in ’04. — Shell says Cox and Cablevision are the only Top 10 MSOs without a Gemstar guide deal but noted that the company will reach Cox customers through its recent deal with Pioneer (Cfax, 03/01).

The Daily

Subscribe
Friday–December 20

Netflix Lands Women’s FIFA World Cup

FIFA delivered a holiday stunner, announcing that the exclusive U.S. rights to the 2027 and 2031 FIFA Women’s World Cup have been awarded to Netflix.

Read the Full Issue
The Skinny is delivered on Tuesday and focuses on the cable profession. You'll stay in the know on the headlines, topics and special issues you value most. Sign Up

Calendar

Apr 16
Cablefax 100 Awards Nominations Open November 13th, 2024.
Full Calendar

Jobs

Seeking an INDUSTRY JOB or hiring for one?
VIEW JOBS

In conjunction with our sister brand, Cynopsis, we are offering hiring managers a deep pool of media-savvy, skilled candidates at a range of experience levels and sectors. The result will be an even more robust industry job board, to help both employers and job seekers.

Contact Carley Ashley, [email protected], for more information about posting a job on the website and our Jobs newsletter, sent twice weekly to 85,000 media professionals.